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Announced in February 2024, Arcius Energy is 51 percent owned by BP and 49 percent by XRG, Adnoc’s investment company.
Adnoc recently launched XRG, with an enterprise value of over $80 billion, to invest in gas and LNG, chemicals, and low-carbon energies.
BP said in a statement on Monday new joint venture in Egypt will combine the pair’s deep technical capabilities and proven development track records as it aims to grow a highly competitive gas portfolio.
Arcius Energy, initially to operate in Egypt, includes interests assigned by BP across two development concessions, as well as exploration agreements.
The concessions assigned to Arcius Energy in Egypt are Shorouk (BP 10 percent interest), which contains the producing Zohr field operated through Belayim Petroleum (Petrobel), and North Damietta (bp 100 percent interest)m which contains the producing Atoll field operated through Pharaonic Petroleum Company (PhPC).
In addition, the North El Tabya, Bellatrix-Seti East, and North El Fayrouz exploration concession agreements have been also added to the JV.
Senior Arcius Energy leadership were also appointed as part of the company’s formation.
Naser Saif Al Yafei was appointed as CEO while Katerina Papalexandri was appointed as CFO.
Both executives, from Adnoc and BP respectively, bring decades of experience in the energy sector, BP said.
Strengthening cooperation
“Arcius Energy brings together the strengths of our two companies to create a dynamic new platform for international growth in natural gas in the region,” Murray Auchincloss, chief executive of BP said.
BP and Adnoc, and now XRG, have worked together for over five decades.
The cooperation includes LNG as BP has a 10 percent stake in Adnoc LNG, the operator of the liquefaction and export terminal on Das Island in the Persian Gulf.
Also, BP confirmed its intent earlier this year to take a 10 percent interest in Adnoc’s planned Ruwais LNG project.
Egypt is an LNG exporter and hosts the Eni-led Damietta liquefaction plant and the Shell-led Egyptian LNG export terminal (ELNG) in Idku.
However, Egypt currently imports LNG via Hoegh Evi’s 170,000-cbm FSRU, Hoegh Galleon, which is located in Ain Sokhna.
Egypt’s EGAS also just signed a deal to charter deal with US LNG player NFE for the 160,000-cbm FSRU, Energos Eskimo.