Mubadala Petroleum sells stake in Petrofac Emirates

Mubadala Petroleum has announced the sale of its 51 per cent interest in Petrofac Emirates to Nama Project Services LLC, an affiliate of Nama Development Enterprises for an undisclosed sum. 

Completion of the transaction is subject to conditions including the usual regulatory consents.

Mubadala Petroleum, through its subsidiary Mubadala Petroleum Services Company, formed the Petrofac Emirates joint venture with Petrofac International Limited in 2008 as the first UAE  joint venture company to provide a full range of engineering, design, procurement and construction services for major onshore oil and gas, refining and petrochemical projects.  This was in line with Mubadala's mandate to establish and nurture new businesses in Abu Dhabi.

Maurizio La Noce, CEO of Mubadala Petroleum, said, "Mubadala Petroleum, in partnership with Petrofac International,  established Petrofac Emirates five years ago.

“Mubadala Petroleum's interest is now being transferred to the UAE s private sector, in line with Mubadala's objectives and mandate. Mubadala Petroleum will concentrate on its core international business, and UAE gas supply projects. But we will continue to support the Abu Dhabi based Petrofac Emirates business," La  Noce said.

Nama, established in 1993, is one of the leading local business groups serving the oil and gas, power and water and industrial sectors of the UAE economy.

Matthew Hollis, Managing Director of Nama, said, "We are very proud to have worked closely with Petrofac over the last 20 years. It is now a great honour to have been given the opportunity to be partners in bringing Petrofac Emirates into the private sector here in Abu Dhabi."

In a subsequent announcement to the London Stock Exchange, Petrofac said that it had agreed to buy from Nama Project Services 26 per cent of the 51 per cent of Petrofac Emirates sold to Nama by Mubadala Petroleum.

This "will increase its economic interest in Petrofac Emirates... to 75 per cent," the announcement said. The remaining 25 per cent will be owned by Nama.