(Abu Dhabi) Law No. 4 of 1976 - Gas Ownership Law

Country / jurisdiction: United Arab Emirates · Year: 1976 · Status: In force · Level: State/Provincial · Type: Voluntary

This law states that all the natural gas within the territory of the Emirates of Abu Dhabi belongs to the government.  Furthermore, it outlines that the Emirate retains gas rights at all stages of production up to the delivery points.

The legislation grants the Abu Dhabi National Oil Company (ADNOC) the right to exploit and use any gas discovered within Abu Dhabi and to exercise all rights arising from agreements signed by the Abu Dhabi Government relating to gas. ADNOC is the property of the Abu Dhabi Government and ADNOC reports directly to the Supreme Council for Petroleum.  Under Article 6, ADNOC has the right to exploit natural gas independently, through agreements with third parties or through joint ventures, provided that ADNOC`s share in is not below 51 per cent.

ADNOC is empowered to establish technical conditions and arrangements for all other producers, meaning that ADNOC also functions as the Abu Dhabi oil and gas regulator. It pursues a range of strategic health, safety and environmental goals that must be followed by its subsidiaries, including ADNOC Gas Processing, ADNOC LNG, ADNOC Onshore, ADNOC Offshore, and ADNOC Refining.

Official source: http://site.eastlaws.com/GeneralSearch/Home/ArticlesTDetails?MasterID=164233