The agreement grants BP a 10 per cent stake in the project, a significant milestone in the company's strategy to expand its natural gas portfolio in one of the world's most important energy-producing regions.
Located within the onshore Bab Field, the project encompasses three gas reservoirs and is expected to deliver up to 1.5 billion cubic feet of natural gas per day when fully operational. The development is aimed at strengthening the UAE’s domestic gas supply, supporting industrial feedstock requirements, and contributing to the country's growing energy demand.
BP said the project will also play a key role in supporting ADNOC’s plans to expand its liquefied natural gas (LNG) export capacity, reinforcing the UAE’s position as a major player in global gas markets.
Under the ownership structure, ADNOC will retain a controlling 60 per cent stake in the concession, while the remaining interests will be shared among an international consortium of energy companies. Besides BP, the partners include TotalEnergies, CNPC International, INPEX, China ZhenHua Oil and GS Energy.
Beyond its participation in the gas project, BP has also been appointed asset lead for the Bab Oil Field, one of Abu Dhabi’s largest and most strategically important onshore oil-producing assets. The role places the British energy company at the centre of efforts to optimise production and enhance operational efficiency at the field.
The latest agreement further strengthens BP’s long-standing relationship with ADNOC and expands its footprint across the UAE’s energy sector. The company already holds a 10 per cent interest in ADNOC Onshore, ADNOC LNG, the National Gas Shipping Company and ADNOC’s Ruwais LNG development project.
The Bab Gas Cap project is expected to support the UAE’s broader energy security objectives while helping meet rising domestic gas demand and creating additional capacity for LNG exports to international markets.
Industry observers view the deal as a strategic win for both companies, combining ADNOC’s resource base with BP’s technical expertise as the UAE accelerates investments in gas development to meet future energy needs and capitalize on growing global demand for cleaner-burning fuels.