The headquarters of Wintershall in Hesse, Germany.(picture alliance/dpa/archive)
Germany's largest oil and gas producer is starting production in the United Arab Emirates. Wintershall will take a 10 percent stake in a concession with the Abu Dhabi National Oil Company (ADNOC), the German firm announced on Monday.
The investment, running into the billions, is being made in the largest yet-to-be-developed gas and oilfield off Abu Dhabi's coast. Wintershall did not comment on the cost for its participation.
The contracts for the exploitation of the raw material deposits run for 40 years. Production is due to start in the middle of the next decade with more than 40 million cubic metres of natural gas a day. That would meet the electricity demand of more than 2 million homes.
Work has been ongoing since 2010 to develop the Middle East into another growth region for Wintershall, said CEO Mario Mehren. So far, the company's focus regions have been Europe, Russia, North Africa and South America.
Notice: No person, organization and/or company shall disseminate or broadcast the above article on Xinhua Silk Road website without prior permission by Xinhua Silk Road.