NPCC signs MoUs with China’s CPECC and CNCEC to collaborate on offshore and onshore sectors
The MoU with CNCEC involves cooperating on potential projects for ADNOC, as well as opportunities for financing services on its projects in the region
The National Petroleum Construction Company (NPCC), a part of the UAE’s Senaat, today signed two memoranda of understanding (MoUs) with two leading entities in China’s energy sector at the 24th World Energy Congress in Abu Dhabi.
NPCC signed separate agreements with China Petroleum Engineering & Construction Corporation (CPECC), affiliated to China National Petroleum Corporation (CNPC), as well as the China National Engineering Co Ltd (CNCEC) to explore joint collaborative opportunities in both onshore and offshore oil and gas sectors, as well as other strategic areas of interest.
As per the agreement with CPECC, NPCC will explore potential opportunities to cooperate on projects that will create value for both companies, and exchange information, data and insights, where relevant, for possible cooperation on future projects in the energy sector. The agreement will enable both entities to facilitate discussions for cooperating on future projects by leveraging the strengths of the entities in building the energy ecosystem and infrastructure.
Through the MoU with CNCEC, the two parties will conduct all-round cooperation in respect of potential projects for the Abu Dhabi National Oil Company (ADNOC) and will explore opportunities for financing services on ADNOC projects in the MENA region. They will also evaluate opportunities on existing ADNOC projects in addition to leveraging mutual strengths in financial and industrial capital, technological advances, management strengths and the integration of resources to strengthen cooperation in the MENA region.
HE Dr. Mohamed Rashed Al Hameli, chairman of NPCC, said: “The two agreements will further drive the global ambition of NPCC to become one of the largest providers of EPC solutions for the energy sector. We have proven competencies in undertaking complex fabrication and manufacturing for onshore and offshore projects, which will add value to any potential partnership with CPECC and CNCEC. It will also enable us to expand our footprint in China, one of the largest growth markets for the energy sector.”
Eng. Ahmed Al Dhaheri, NPCC CEO added: "This is one of our first collaborative outreach initiatives in China, where we see significant opportunity to expand our presence and offering. Both CPECC and CNCEC are market leaders, with specialised skills in EPC and lumpsum contracting, including strong international experience. All the entities can benefit from the partnership, which will potentially help expand our business footprint and showcase our strengths to Chinese energy sector stakeholders.”
Liu Haijun, chairman and president of CPECC, said:” We are delighted to sign the agreement with NPCC. Our alliance will facilitate to develop businesses vertically and geographically to seek for the international business growth, and as well as o to provide the better and comprehensive services for ADNOC. Last but not the least, UAE is one of the fundamental countries to the ‘Belt and Road’ initiatives. Under the stream of deepening the bilateral economic development between UAE and China, ADNOC and CNPC have been working together in business expansions. Therefore, our alliance underpins win-win outcomes, which satisfies the needs of mutual developments, and also supports the direction of Sino-UAE partnership.
Nie Chuan, director of CNPC International - Abu Dhabi, said: “With our comprehensive offering and our strong experience in the industry, we are committed to creating exceptional value for all our stakeholders. We have undertaken complex projects, delivering them on schedule and ensuring the highest levels of operational efficiency. Through the MoU with NPCC, one of the region’s largest EPC players, we aim to explore joint opportunities that will benefit both organisations, in addition to expanding our geographic footprint.”