INPEX was awarded 10% participation interest in the Lower Zakum concession offshore Abu Dhabi by the Supreme Petroleum Council. This agreement was awarded for a term of 40 years and is going to go on until 8th March 2058. This agreement ensures that INPEX continues to enjoy the significant, competitive and reliable resources that the region has to offer, and the company appreciates this fact quite well.
The agreement also results in an unwavering long-term partnership, which INPEX has built over the years with Abu Dhabi. This relationship has lasted them around 40 years and the agreement is tantamount to that long-term commitment that further develops Abu Dhabi's energy industry for the next several decades.
INPEX has also been appointed the Asset Leader for the Lower Zakum Oil Field, in recognition with its technical contributions in the field of oil and gas in the UAE. INPEX is also the only IOC partner, which is participating in both Lower and Upper Zakum Oil Fields, with the help of its subsidiaries JODCO Lower Zakum Limited and JODCO, with whom it will continue to seek a go-between in the oil fields in order to reduce the costs and to optimize value driven during the tenure that it devotes human and technical resources for operations in the Lower Zakum Oil Fields, while it works in tandem with ADNOC Offshore in order to achieve production targets, bring technical solutions and reduce development and production costs.
As a core business area, UAE has been made a prime business centre due to the intervention of INPEX. It will continue to strive and strengthen the oil development activities and the contribution efforts in Abu Dhabi, as well as, further deepen the relations with Abu Dhabi and Japan.
INPEX is also involved in various exploration activities in the offshore Exploration Block 10 in the Republic of Iraq. Here there is a production oil reservoir that was discovered in 2017 and the subsequent appraisal and drilling were confirmed with the field's assumed geological model. Furthermore, INPEX will pursue the evaluation studies along with its partners to determine the viability of commercial development.
Alongside, INPEX is determined to work on sustainability with respect to the environment and will work to focus on minimizing as well as mitigating any environmental impacts in the region. In the Final Investment Decision for Ichthys LNG Project in Australia, INPEX is committed to several social and environmental offset programmes that include AUD$34M; a million-dollar greenhouse gas offset programmes in the Northern Territory.