Page 13 - MEOG Week 20 2022

MEOG NEWS IN BRIEF MEOG

COMPANIES adviser, its chief executive said yesterday. Mr Thomas said, although it may raise more
Nogaholding issued a request for proposal should new projects require it. It may also
OQ invites banks to pitch (RFP) for an independent financial adviser refinance existing debt.
last week and expects to award it in roughly
Bahrain could also consider increasing oil
for gas network IPO eight weeks’ time, group chief executive Mark production if it made sense economically, he
added.
Thomas told Reuters.
Oman’s state energy company OQ is The aim is to develop an energy strategy GDN
considering an initial public offering of its within six months and an asset monetisation
gas pipelines network, four sources with programme as soon as next year, he said.
knowledge of the matter told Reuters. “The independent financial adviser will OIL
The company has invited local and be looking at asset monetisation, our debt
international banks to pitch for roles in a and our structure of our debt, looking at ADNOC makes significant
potential offering, according to the sources, opportunities where we can use alternative
who declined to be named as the matter is not forms of financing like sustainability-linked onshore discoveries
public. loans,” Mr Thomas said.
OQ did not immediately respond to a The adviser will also help nogaholding ADNOC this week announced multiple
request for comment when contacted by with a possible national hedging strategy, onshore oil discoveries in place, totalling 650
Reuters on Monday. in co-ordination with the finance ministry, million barrels of oil.
The company is considering local listings to protect on the downside and unlock any This includes 500 million barrels of oil in
for some of its downstream and upstream upside, he added. place at Abu Dhabi’s Largest Onshore Field -
assets but has no plan to float the parent “We’ve got very attractive oil prices right Bu Hasa. Also, ~100 mil barrels discovered in
company at present, a senior executive told now. We generally run a budget, a national Onshore Block 3 operated by Occidental, and
Reuters in November. budget, at an oil figure of $60-$65” per barrel around 50 mil discovered in the Al Dhafra
Oman follows Abu Dhabi and Saudi Arabia to break even, he said. International oil prices Petroleum Concession.
in looking at sales of stakes in energy assets, are above $110 a barrel. ADNOC
capitalising on a rebound in crude prices to The strategy consultant, for which an
attract foreign investors. RFP was issued in December, is expected to
Oman aims to list 35 state-owned complete early in the fourth quarter a national SERVICES
enterprises in the next five years and plans to energy strategy, a nogaholding operating
take one or two oil companies public this year, strategy and a carbon strategy aligned with Somo signs oil transport
the CEO of the Muscat Stock Exchange told Bahrain’s goal of net zero emissions by 2060.
CNBC Arabia in March. Nogaholding will follow a monetisation deal with railway firm
Oman, which according to S&P gets 75% model similar to Saudi Aramco and Abu
of fiscal receipts from hydrocarbon products, Dhabi National Oil Company (ADNOC), Mr Based on the directives of the Minister of Oil
has introduced some reforms to diversify Thomas said. in supporting government sector companies,
revenues, including introducing a 5% value- That included lease and leaseback and in order to maximize the financial
added tax last year. agreements and initial public offerings of revenues generated through the conclusion
The reforms and a shake-up of state entities subsidiaries. Bahrain could list one or more of of contracts that come in the context of
are being driven by Sultan Haitham bin Tariq its operating companies, which include Bapco, supporting the national carrier, which aim
al-Said, who took the throne in early 2020 he added. to enhance the participation of national
after the death of Sultan Qaboos, who ruled A previously issued RFP to monetise a companies in the transportation of petroleum
the small oil producer for nearly five decades. pipeline between Saudi Arabia and Bahrain products and to increase the quantities
REUTERS was abandoned as debt tied to the deal would transported for export purposes through
have likely impacted nogaholding’s rating, the tankers that Floating tanks are working at the
nogaholding set to name nogaholding CEO said. anchorage area in Iraqi waters, and to reduce
traffic congestion and traffic on land roads.
“When we look at the relevant debt that we
financial adviser take on, it doesn’t help our balance sheet at all. per day) to the southern ports for a period of
The course with an amount of (1000 tons
It is instant cash, but we don’t really need the
Bahrain’s nogaholding is in final talks to cash right now,” he said. one year.
appoint a strategy consultant and financial Nogaholding wants to reduce its debt, SOMO

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