© Reuters. FILE PHOTO: A common view of ADNOC headquarters in Abu Dhabi, United Arab Emirates Could 29, 2019. REUTERS/Christopher Pike/File Photograph
By Hadeel Al Sayegh
DUBAI (Reuters) – State oil agency Abu Dhabi Nationwide Oil Firm (ADNOC) is weighing an preliminary public providing (IPO) of its marine providers, logistics and transport arm subsequent yr, two sources accustomed to the matter informed Reuters.
ADNOC Logistics & Companies (ADNOC L&S) has been chosen for a possible float in Abu Dhabi in 2022, mentioned the sources, declining to be named because the matter just isn’t public.
A deal may comply with after testing investor urge for food and market circumstances, they mentioned.
ADNOC declined to remark when contacted by Reuters on Sunday.
Gulf oil producers are taking a look at gross sales of stakes in power property, capitalising on a rebound in crude costs to draw overseas traders.
ADNOC, which provides almost 3% of worldwide oil demand, is searching for to extract worth from companies it owns and divest property seen as non-core companies.
It’s also making the most of a rally on the Abu Dhabi equities index, which is up about 65% this yr, the best-performing market within the Gulf area.
ADNOC in September supplied an 11% stake in its drilling enterprise, which raised greater than $1.1 billion from traders. ADNOC and chemical compounds agency OCI raised $795 million in October by means of the general public share sale of its fertiliser enterprise Fertiglobe.
ADNOC L&S delivers , refined merchandise, dry bulk and liquefied from Abu Dhabi to its worldwide clients.
It was created in 2016 following a merger between Abu Dhabi Nationwide Tanker Co, Petroleum Companies Co and Abu Dhabi Petroleum Ports Working Co.
The unit has a fleet of over 240 owned and chartered vessels, which embody tankers and really giant crude carriers. It’s also the one licensed operator to service all petroleum ports in Abu Dhabi.
The enterprise is an important unit of ADNOC, which is searching for to spice up its crude oil manufacturing capability to five million barrels per day by 2030.
The unit additionally operates feeder vessels that transport cargo on behalf of ADNOC and different clients. Transport charges for cargo have soared previously yr because the coronavirus pandemic created bottlenecks and disrupted provide chains.
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