Dragon Oil

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Dragon Oil plc
Public limited company
IndustryOil
Founded1971
HeadquartersDubai
Key people
Hamdan bin Rashid Al Maktoum (Chairman)
Ali Al Jarwan (CEO)
RevenueUS$ 1.093.1 billion (2014)[1]
US$ 578.6 million (2014)[1]
US$ 650.5 million (2014)[1]
Websitewww.dragonoil.com

Dragon Oil plc is an independent international oil and gas exploration, development and production business. It is based in Dubai and was listed on the Irish Stock Exchange until it was acquired by the Emirates National Oil Company.

History[edit]

The company was established as Oliver Prospecting & Mining Co. Limited in Ireland by Dr. Oliver Conor Waldron in 1971.[2] It changed its name to Dragon Oil in 1993 and invested in the Cheleken oilfield.[3]

The Emirates National Oil Company bought a majority stake in the company in 1999 and the headquarters were moved to Dubai that same year.[4]

In 1999, Dragon Oils signed a Production sharing agreement (PSA) with the Government of Turkmenistan, aiming to re-develop the Cheleken field in the Caspian Sea. The current PSA expires in 2025.[5][6]

Between 2002 and 2005 Dragon Oil raised capital for exploration.[7]

From 2012 to 2015, Dragon Oil suffered setbacks caused by several delivery delays of a drilling platform, an important part of the companies progress in the Caspian Sea.[8]

In June 2015 the Emirates National Oil Company acquired the remaining 46% of Dragon Oil for £3.7 billion, becoming the sole owner of Dragon Oil.[9] ENOC had attempted to buy the remaining percentage since 2009, at 455p a share, and offered 650p in March 2015. The final price was 800p a share, after extensive back and forth with different minority shareholders.[10][11][12]

The company was delisted from the London and Irish Stock Exchange as of 7 September 2015.[6]

In November 2015, the company was in talks to invest around $10 billion into a natural gas pipeline, the Tapi project, from Turkmenistan to India.[13][14][15] In 2016, Dragon pre-qualified for a bidding round for different new oil fields under new contract terms in Iraq and took part in a bidding round in 2018.[16][17]

In August 2017, Dragon Oil signed a five-year contract with Topaz Energy & Marine for the delivery of six new offshore vessels, including five anchor-handlers and one Emergency Recovery and Response Vessel.[18]

Overview of personnel[edit]

The board of directors consists of Chairman Sheikh Hamdan bin Rashid Al Maktoum and Vice Chairman Saeed Mohammed Al Tayer. Other board members are Abdulrahman Al Saleh, Hussain Hassan Mirza Al Sayegh, Ahmad Buti Al Muhairbi, Ahmad Sharaf, and Abdulrahman Al Awar.[19]

The company is led CEO Ali Rashid Al Jarwan and Assistant CEO Faisal Rabee Al Awadhi. Other members of the senior management team are Fareed Abdulla Al Hashmi, Executive Director - Petroleum Development, Ahmad Ali Bin Obood, Director of Finance and Planning, Mana Bin Qutami, Executive Director of Corporate Services and Tayeb Huwair, Executive Director – Engineering & Projects.[20]

Operations[edit]

Dragon Oils headquarters is in Dubai, UAE with all of the senior management based on site. Further offices are located in Mazar-i-Sharif, Afghanistan, Cairo, Egypt and Algiers, Algeria.[21]

Its principal producing asset is at Cheleken, in the eastern section of the Caspian Sea, offshore from Turkmenistan.[22] It is also involved in exploration activities in Tunisia.[23] The field is operated from the onshore base near the town of Hazar, Turkmenistan.[24]

In 2009-2010, Dragon Oil reached a production level of 50,000 bopd from Chekelen and from 2011-2014, between 60,000-70,000 bopd overall production capacity. The field holds an estimated 663 million barrels of oil and condensates, and 1.3 trillion cubic feet of gas reserves. The company produced an average of 61,500 bopd in 2011, 76,600 in 2012, 73,750 in 2013 and 44,000 in 2014. By 2015, Dragon aimed to reach 100,000 barrels a day, by adding around 30,000-50,000 bopd in production capacity through M&A's. Production from Cheleken reached 100,000 bopd in June 2015.[5][8][25][26]

It is also involved in exploration activities in Afghanistan (Sanduqli and Mazar-i-Sharif blocks),[27][28] Algeria (Tinrhert Nord Perimeter and Msari Akabli Perimeter),[29][30] Egypt (East Zeit Bay), Iraq (Block 9)[31] and Tunisia (the Bargou Exploration Permit). The legal process behind the Tunisian contracts has been questioned by Tunisian corruption watchdog I WATCH.[32]

Past operations also include the Philippines, where Dragon Oil explored in the offshore Palawan Basin under agreement SC 63 until November 2015.[6][33][34]

References[edit]

  1. ^ a b c "Key Financial Highlights". Dragon Oil. February 17, 2015. Retrieved October 19, 2018.
  2. ^ "Dragon Oil". South High Business. Retrieved 11 October 2018.
  3. ^ "Energy and Security, From the Caspian to Europe" (PDF). House Committee on Foreign Relations. December 12, 2012. Retrieved October 11, 2018.
  4. ^ "25 years of inspiring energy" (PDF). Emirates National Oil Company. Retrieved October 18, 2018.
  5. ^ a b "Baillie Gifford Says ENOC's Offer Undervalues Dragon Oil". Wall Street Journal. June 18, 2015. Retrieved October 11, 2018.
  6. ^ a b c "Our History". Dragon Oil. Retrieved October 11, 2018.
  7. ^ "Investors Eye Caspian's Riches". Wall Street Journal. April 13, 2004. Retrieved October 11, 2018.
  8. ^ a b "Dragon Oil Says Production Growth Curbed by Delayed Rig". Bloomberg. February 18, 2014. Retrieved October 11, 2018.
  9. ^ "Dragon Oil shares are on fire after Emirates National Oil Company's bid success". Evening Standard. 15 June 2015. Retrieved 7 January 2015.
  10. ^ "Dubai's ENOC to Buy Dragon Oil". Wall Street Journal. November 3, 2009. Retrieved October 11, 2018.
  11. ^ "Emirates National Oil moves to buy out Dragon Oil shareholders". Financial Times. March 17, 2015. Retrieved October 11, 2018.
  12. ^ "Emirates National Oil Company boosts offer for Dragon Oil". Financial Times. August 2, 2015. Retrieved October 11, 2018.
  13. ^ "Dragon Oil looks to back $10bn gas link". Financial Times. November 22, 2015. Retrieved October 16, 2018.
  14. ^ "UAE's Dragon Oil in talks with Turkmenistan on $10 bln TAPI pipeline". Reuters. November 27, 2015. Retrieved October 16, 2018.
  15. ^ "Turkmenistan should ease gas investment rules, U.S. official says". Reuters. December 3, 2015. Retrieved October 16, 2018.
  16. ^ "Iraq offers oil fields under new contract terms". Reuters. October 24, 2016. Retrieved October 16, 2018.
  17. ^ "Mideast stocks - Saudi petrochemical stocks under pressure despite index rise". Reuters. April 26, 2018. Retrieved October 16, 2018.
  18. ^ "Topaz Energy & Marine awarded $100-million Dragon Oil contract". World Oil. August 8, 2017. Retrieved October 16, 2018.
  19. ^ "Board of Directors". Dragon Oil. Retrieved October 16, 2018.
  20. ^ "Senior Management". Dragon Oil. Retrieved October 16, 2018.
  21. ^ "Operations". Dragon Oil. Retrieved October 16, 2018.
  22. ^ Dragon Oil of Dubai is breathing fire The National, 24 January 2012
  23. ^ "Dubai-linked Dragon Oil to drill in Tunisia". The National. October 12, 2011. Retrieved October 16, 2018.
  24. ^ "Dragon Oil looks to buy in Africa". The National. February 20, 2012. Retrieved October 16, 2018.
  25. ^ "Dragon Oil Says Iran Sanctions May Make Rig Payments 'Difficult'". Bloomberg. February 21, 2012. Retrieved October 18, 2018.
  26. ^ "Dragon Oil Eyes Acquisitions in 2015 - CEO". Wall Street Journal. February 17, 2015. Retrieved October 18, 2018.
  27. ^ "Consortium wins Afghan mining permits". Financial Times. December 6, 2012. Retrieved October 18, 2018.
  28. ^ "China to Produce First Afghan Oil, Kabul Contends". Wall Street Journal. March 20, 2013. Retrieved October 18, 2018.
  29. ^ "Argentina's YPF CEO Meets With UAE Oil Companies". Wall Street Journal. February 6, 2013. Retrieved October 18, 2018.
  30. ^ "Update 2-Algeria awards 4 out of 31 oil, gas blocks on offer". Reuters. September 30, 2014. Retrieved October 18, 2018.
  31. ^ "Iraq says Exxon to quit oilfield, ends Turkey TPAO deal". Reuters. November 7, 2012. Retrieved October 18, 2018.
  32. ^ "Revealed: Tunisian president's family links to 'illegal' UAE oil deal". Middle East Eye. September 15, 2017. Retrieved October 18, 2018.
  33. ^ "Operations, The Philippines - Service Contract 63 - exited". Dragon Oil. Retrieved October 18, 2018.
  34. ^ "Operations". Dragon Oil. Retrieved October 18, 2018.

External links[edit]