ConocoPhillips exits Abu Dhabi gas venture
29 Apr 2010
The Houston-based oil giant ConocoPhillips is pulling out of a joint venture to develop the Shah Gas Field with Abu Dhabi National Oil Company (ADNOC).
ConocoPhillips had considered holding a 40 per cent ownership stake in the $10 billion gas field project in the United Arab Emirates.
The US company has not cited any reason for the withdrawal but analysts believe that the move is part of the firm's wider plans to withdraw from downstream projects worldwide.
''The Shah Gas Field will be a world-class project that will develop a key resource for Abu Dhabi and the region and it was a difficult decision not to participate in a project of this importance,'' said Ryan Lance, senior vice president, E&P International, ConocoPhillips.
''We value our relationship with ADNOC and will continue to look for opportunities to work together in the future,'' he added.
The Shah gas field lies about 180 kilometers southwest of the city of Abu Dhabi. The site aims to process one billion cubic feet of gas per day.
