China's CNPC seals $1.18 bn Abu Dhabi oil concession deal

The 40-year deal with Chinese oil giant CNPC is the latest in a series of contracts Abu Dhabi has sealed with foreign partners and will see China increase its footprint in the vital region

Chinese oil giant CNPC has signed a deal worth $1.18 billion (950 million euros) for stakes in two Abu Dhabi oil and gas concessions, the Gulf emirate's state producer said Wednesday.

The 40-year deal is the latest in a series of contracts Abu Dhabi has sealed with foreign partners and will see China increase its footprint in the vital region.

State-run CNPC will take a 10 percent stake of the Umm Sharif and Nasr concession for $575 million (468 million euro), and 10 percent of the Lower Zakum for $600 million (488.5 million euro), Abu Dhabi's ADNOC said.

Both fields are located off Abu Dhabi's coast.

Last Sunday, ADNOC agreed a deal with French group Total for shares in the same concessions amounting to nearly $1.5 billion (1.2 billion euro).

Total was awarded 20% of the Umm Sharif and Nasr concession and five percent of the Lower Zakum concession.

Italian energy company Eni also has a 10 percent share of the Umm Sharif and Nasr concession.