Abu Dhabi National Oil Company (ADNOC) has announced its plan to transfer a 24.9% shareholding in Austrian oil and gas company OMV to XRG, its wholly owned investment subsidiary.
This strategic move is designed to align with ADNOC’s international growth consolidation under XRG and is subject to regulatory approvals.
Launched in November last year with an enterprise value exceeding $80bn (Dh293.8bn), XRG focuses on lower-carbon energy and chemicals.
ADNOC has emphasised its continued commitment to its partnership with OMV, which will be maintained through XRG.
The transfer is part of ADNOC’s broader strategy to streamline its international investments and comes as the company prepares for the establishment of Borouge Group International, which is set to become one of the top four polyolefins producers worldwide.
XRG is expected to hold ADNOC’s proposed 46.94% share in Borouge Group upon completion of the transaction, pending regulatory clearances.
In related developments, Santos, an Australian oil and gas company, has received a non-binding indicative offer from a consortium that includes XRG, ADQ and Carlyle.
The proposal suggests acquiring all Santos shares at $5.76 each, a 28% premium to the last closing price, valuing the deal at $18.7bn (A$28.93bn).
The group’s bid comes after two previous undisclosed offers in March. The initial bid on 21 March proposed a cash price of $5.04 per share, and the subsequent bid on 28 March proposed a cash price of $5.42 per share.
Additionally, XRG recently completed the acquisition of a 38% stake in a Turkmenistan offshore natural gas block, Block I.
This acquisition complements Abu Dhabi’s strategy to diversify its energy portfolio beyond oil exports.
