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The UAE’s global energy investment company XRG and BP, the British energy major, have set up a joint venture and international natural gas platform.
Arcius Energy, 51% owned by BP and 49% by XRG, will initially operate in Egypt and aims to grow a competitive gas portfolio.
Fully owned by Abu Dhabi’s state energy company ADNOC, XRG was launched in November as an international lower-carbon energy and chemicals investment company, with an enterprise value exceeding $80 billion.
Sultan Ahmed Al Jaber, Executive Chairman of XRG said the new JV will “accelerate the transformation of energy systems and build a world-scale integrated gas and chemicals portfolio to meet rising global demand.”
He added the partnership will unlock a lower-carbon transition fuel to provide more affordable energy for Egypt and the wider market.
The concessions assigned to Arcius Energy in Egypt are: Shorouk (BP 10% interest), North Damietta (BP 100% interest) North El Tabya, Bellatrix-Seti East and North El Fayrouz exploration concession agreements.
Meanwhile, Bernard Looney, the former chief executive of BP, joined the board of XRG last week.
The investment company is expected to begin operations in the first quarter of 2025.
(Writing by Brinda Darasha; editing by Bindu Rai)
