In a significant strategic shift, China’s Zhenhua Oil will double its crude oil offtake from Abu Dhabi National Oil Company (ADNOC) to 200,000 barrels per day by year-end, following its appointment as the asset leader for the UAE’s largest onshore oilfield, Bu Hasa.
Zhenhua replaced TotalEnergies in January after a competitive bidding process, gaining full responsibility for Bu Hasa’s development, production plans, and cost management.
As part of this expanded mandate, Zhenhua secured a new annual offtake deal in April that adds 5 million tons (roughly 100,000 bpd) in crude, in addition to its existing entitlement of 100,000 bpd as an equity partner in ADNOC Onshore. Combined, this brings the total contracted volume to 200,000 bpd, set to ramp up by the end of the year.
This move elevates Zhenhua’s position as a major trader of Abu Dhabi’s flagship Murban crude and reflects its growing influence in global oil markets. As part of its expansion strategy, the company is establishing its first crude trading desk in Abu Dhabi, complementing existing ones in Beijing and Singapore.
Zhenhua Oil, a subsidiary of Norinco established in 2003, also holds oil assets in Iraq, Pakistan, and Kazakhstan.
