Abu Dhabi National Oil Company (ADNOC) is reportedly looking to sell a minority stake in its refining business, and is in advanced negotiations with multiple potential buyers including Italy’s Eni, two sources close to the matter told Reuters.
ADNOC previously listed 10% of its fuel distribution business in 2017, as part of a 2016 strategy to compete with US shale firms and expand its international downstream business.
The company has now began the sale process for a stake in its $20 billion refining business, and is likely to be split between two or more parties, one source said.
A source added that ADNOC would favor companies it has pre-existing partnerships with, which would include Eni, and Austrian oil and gas group OMV.
“This strategy would give ADNOC the chance to bring in these companies’ money and expertise without having a dominant partner,” the source said.
Neither Eni or OMV commented on the rumours.