Abu Dhabi National Oil Company will merge 3 of its ports and shipping services units into one as the government oil firm advances ahead with its consolidation and reorganization under Sultan Al Jaber, who assumed control as CEO this year.
The Abu Dhabi National Tanker Company (Adnatco), the Petroleum Services Company (Esnaad), and the Abu Dhabi Petroleum Ports Operating Company (Irshad), which have a joined workforce of around 4,000, will be incorporated into one organization – still unnamed – before end of 2016, Adnoc said.
The operations and operations of a fourth organization, the National Gas and Shipping Company (NGSCO), in which Adnoc has a 70% stake, will likewise go under the new organization, in spite of the fact that it will keep on operating independently.
Mr. Al Jaber stated that by utilizing the experience and resources over the three organizations, we expect to give an enhanced and financially savvy service to address the issues of the Adnoc group.
Alongside savings and synergies, the move will give the new organization a superior position to offer for business outside of the Adnoc group, which represents the vast majority of its business now.
“After the completion of the integration, the new organization will be particularly positioned to additionally extend its services to clients around the world,” included Mr. Al Jaber.
Right now, about more than 60% of Adnatco’s business comes straight from Adnoc, while more than 90% of both Esnaad and Irshad’s business is dependent on Adnoc. NGSCO, whose further shareholders are Mitsui, BP, and Total, determines 100% of its business from Adnoc.
The 3 CEOs of the organizations – Sultan Al Zaabi for Adnatco and NGSCO; Khalifa Mohammed Al Qubaisi for Irshad and Dagher Darwish Al Marar for Esnaad will stay amid the process of integration, after which another CEO for the joined organization will be picked.
A partial of the workforce of 4,000 is crew for the 165 armada of tankers, including liquefied natural gas vessels, chemical and product tankers, bulk carriers, compartment and container feeder vessels – the quantity of group on a vessel is controlled by regulations, which restrains the extent of union in the area of operations.
The consolidated organization will likewise have port administration, oilfield storage and services meant for the oil and gas industry, and its capacity to offer integrated services to non-Adnoc organizations will help it to contend on cost and different elements, the organization said.
Aside from other enormous oil organizations, the greater part of which work their own fleets, rivals in the field are Swire Pacific, Tidewater and Maersk.
Following this cosolidation, the quantity of Adnoc’s working organizations – including joint endeavors, for example, the Borouge petrochemicals organization – will have been decreased to 15 from 18.
Recently, Adnoc consolidated its two prime offshore operating organizations – the Abu Dhabi Marine Operating Company (Adma-Opco) and the Zakum Development Company (Zadco)– and in spring Mr. Al Jaber, who is likewise the Minister of State, declared changes to Adnoc’s administration, changing almost the majority of its top executives, and laid out an arrangement to make the organization more dynamic and effective, to some degree to manage a lower oil value environment.
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