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S. Korean consortium begins production of crude oil from UAE field

S. Korean consortium begins production of crude oil from UAE field

SEOUL: South Korea’s state-run oil firm said Tuesday its consortium kicked off the commercial production of crude oil from the Haliba field of the United Arab Emirates (UAE).

The South Korean consortium of the Korea National Oil Corp. (KNOC) and GS Energy Corp., which holds a 40 percent stake in the Haliba field, first launched the project in 2012 with the Abu Dhabi National Oil Co. (ADNOC), which holds the remaining shares.

By the end of the year, the daily production is anticipated to reach 40,000 barrels, the KNOC said.

When the production reaches the mark, South Korea will be able to take home 5.84 million barrels annually, which is estimated at around US$390 million, the KNOC added.

Through 2023, the daily production is set to reach 60,000 barrels.

The KNOC said it has worked closely with the ADNOC on all steps, from exploration to development, claiming the project was a great opportunity to prove South Korea’s industrial capabilities to the globe.

The project is also significant as it will provide South Korea with a stable supply of crude oil and boost the country’s energy security, it added.

M M Alam

M. M. Alam is a Pakistan-based working journalist since 1981. Karachi University faculty gold medalist Alam began his career four decades ago by writing for Dawn, Pakistan’s highest circulating English daily. He has worked for region’s leading publications, global aviation periodicals including Rotors (of USA) and vetted New York Times as permanent employee of daily Express Tribune. Alam regularly covers international aviation and defense-related events including Salon Du Bourget (France), Farnborough (United Kingdom), Dubai (UAE). Alam has reported thousands of events and interviewed hundreds of people in Pakistan, UAE, EU, UK and USA. Being Francophone Alam also coordinates with a number of French publications.