Abu Dhabi National Energy Company, known as Taqa, yesterday completed its acquisition of BP's assets in the North Sea, increasing its global oil output by a third.
Taqa bought stakes in three fields in UK waters from BP for US$1 billion last November, adding 20,000 barrels per day (bpd) to its production. It became legal owner of the former BP assets at the beginning of the year.
"This investment is a great strategic fit for Taqa," said Carl Sheldon, Taqa's chief executive.
With the purchase completed, Taqa is now the operator at the Harding field, where it has taken on a 70 per cent stake. The company is already the operator in a range of North Sea fields, and the move towards further responsibility is part of its strategy to increase its expertise.
The BP transaction also gives Taqa access to two further fields and increases its stake in fields that are already part-owned. The company gained a majority stake in a fourth field, where BP retains rights to the bulk of the underlying cash flow. In addition, Taqa increased its stakes in oil and gas pipeline systems in the area.
These interests now include the Morrone and Maclure fields as well as an increased share in the Brae area, the Sage gas pipeline and Forties-Brae and Forties-Braemar oil pipelines.
"We don't want to be just a portfolio investor and don't want to just hold minor equities. We want to be operators, and we want to gain that operating experience, in part so we can translate that around the world," said David Cook, Taqa's head of global oil and gas.
The bulk of the company's assets lie in power plants in and around Abu Dhabi, and Taqa is in turn majority owned by the Abu Dhabi Water and Electricity Authority. But the investor has built up a portfolio of oil and gas assets in Europe and North America, and seeks to use these to gain experience it can transfer into the Mena region.
"We are delighted to announce the completion of this acquisition, which extends the average life of our UK reserves and opens up a bright future for our North Sea business," said Mr Sheldon.
Last year, Taqa bought rights to an oil and gas block in the Kurdish region of Iraq, and it submitted a full field development plan to the Kurdish Regional Government last month.
With the Mena region identified as a growth market, Iraq has crystalised as an investment target. Building on a stake in a gas-fired power plant, Taqa is keen to develop midstream assets, such as oil and gas and pipelines and processing facilities, in particular.
The company last year signed a deal to develop coal mines and power plants in Turkey, and could link those two markets with investment in pipeline infrastructure connecting the countries. Taqa shares closed trading on Thursday 0.8 per cent higher at Dh1.29 each.
fneuhof@thenational.ae
* with Dow Jones
Also on December 7 to 9, the third edition of the Gulf Car Festival (www.gulfcarfestival.com) will take over Dubai Festival City Mall, a new venue for the event. Last year's festival brought together about 900 cars worth more than Dh300 million from across the Emirates and wider Gulf region – and that first figure is set to swell by several hundred this time around, with between 1,000 and 1,200 cars expected. The first day is themed around American muscle; the second centres on supercars, exotics, European cars and classics; and the final day will major in JDM (Japanese domestic market) cars, tuned vehicles and trucks. Individuals and car clubs can register their vehicles, although the festival isn’t all static displays, with stunt drifting, a rev battle, car pulls and a burnout competition.
Top investing tips for UAE residents in 2021
Build an emergency fund: Make sure you have enough cash to cover six months of expenses as a buffer against unexpected problems before you begin investing, advises Steve Cronin, the founder of DeadSimpleSaving.com.
Think long-term: When you invest, you need to have a long-term mindset, so don’t worry about momentary ups and downs in the stock market.
Invest worldwide: Diversify your investments globally, ideally by way of a global stock index fund.
Is your money tied up: Avoid anything where you cannot get your money back in full within a month at any time without any penalty.
Skip past the promises: “If an investment product is offering more than 10 per cent return per year, it is either extremely risky or a scam,” Mr Cronin says.
Choose plans with low fees: Make sure that any funds you buy do not charge more than 1 per cent in fees, Mr Cronin says. “If you invest by yourself, you can easily stay below this figure.” Managed funds and commissionable investments often come with higher fees.
Be sceptical about recommendations: If someone suggests an investment to you, ask if they stand to gain, advises Mr Cronin. “If they are receiving commission, they are unlikely to recommend an investment that’s best for you.”
Get financially independent: Mr Cronin advises UAE residents to pursue financial independence. Start with a Google search and improve your knowledge via expat investing websites or Facebook groups such as SimplyFI.
Benefits of first-time home buyers' scheme
- Priority access to new homes from participating developers
- Discounts on sales price of off-plan units
- Flexible payment plans from developers
- Mortgages with better interest rates, faster approval times and reduced fees
- DLD registration fee can be paid through banks or credit cards at zero interest rates
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Some of Darwish's last words
"They see their tomorrows slipping out of their reach. And though it seems to them that everything outside this reality is heaven, yet they do not want to go to that heaven. They stay, because they are afflicted with hope." - Mahmoud Darwish, to attendees of the Palestine Festival of Literature, 2008
His life in brief: Born in a village near Galilee, he lived in exile for most of his life and started writing poetry after high school. He was arrested several times by Israel for what were deemed to be inciteful poems. Most of his work focused on the love and yearning for his homeland, and he was regarded the Palestinian poet of resistance. Over the course of his life, he published more than 30 poetry collections and books of prose, with his work translated into more than 20 languages. Many of his poems were set to music by Arab composers, most significantly Marcel Khalife. Darwish died on August 9, 2008 after undergoing heart surgery in the United States. He was later buried in Ramallah where a shrine was erected in his honour.
Richard Jewell
Director: Clint Eastwood
Stars: Paul Walter Hauser, Sam Rockwell, Brandon Stanley
Two-and-a-half out of five stars
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The rules on fostering in the UAE
A foster couple or family must:
- be Muslim, Emirati and be residing in the UAE
- not be younger than 25 years old
- not have been convicted of offences or crimes involving moral turpitude
- be free of infectious diseases or psychological and mental disorders
- have the ability to support its members and the foster child financially
- undertake to treat and raise the child in a proper manner and take care of his or her health and well-being
- A single, divorced or widowed Muslim Emirati female, residing in the UAE may apply to foster a child if she is at least 30 years old and able to support the child financially
The biog
Favourite colour: Brown
Favourite Movie: Resident Evil
Hobbies: Painting, Cooking, Imitating Voices
Favourite food: Pizza
Trivia: Was the voice of three characters in the Emirati animation, Shaabiyat Al Cartoon
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How to apply for a drone permit
- Individuals must register on UAE Drone app or website using their UAE Pass
- Add all their personal details, including name, nationality, passport number, Emiratis ID, email and phone number
- Upload the training certificate from a centre accredited by the GCAA
- Submit their request
What are the regulations?
- Fly it within visual line of sight
- Never over populated areas
- Ensure maximum flying height of 400 feet (122 metres) above ground level is not crossed
- Users must avoid flying over restricted areas listed on the UAE Drone app
- Only fly the drone during the day, and never at night
- Should have a live feed of the drone flight
- Drones must weigh 5 kg or less
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- I would recommend writing out the text in the body
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