Abu Dhabi National Oil Co said it would consolidate the operations of three of its shipping, marine and services companies into one firm in order to increase efficiency
The UAE expects to carry out more consolidation of its energy sector, Energy Minister Suhail bin Mohammed al-Mazrouei said on Wednesday.
"Yes, this is a journey so it will not finish," the minister said when asked at Abu Dhabi's ADIPEC energy conference if he saw more consolidation.
"We have seen lots of consolidation in the ADNOC group... the idea is we need to sharpen our pencils ... We already have some of the best reservoirs, with the best reservoirs management programmes, so we think we can compete and we can optimise our resources."
"The mergers between companies create value... but it needs to be done with care and with clear objectives what to do with it."
State-owned Abu Dhabi National Oil Co (ADNOC) said on October 18 it would consolidate the operations of three of its shipping, marine and services companies into one firm in order to increase efficiency.
Abu Dhabi National Tanker Co, Petroleum Services Co and Abu Dhabi Petroleum Ports Operating Co will be combined.
Integration is expected to be completed by the end of 2017, ADNOC said. The new company would operate over 165 vessels, including liquefied natural gas and bulk carriers, chemicals and products tankers, and container and container-feeder vessels.
ADNOC said on October 4 that it was consolidating the operations of two of its offshore oil companies, Abu Dhabi Marine Operating Co and Zakum Development Co, into a new entity.