Formation of Arcius Energy Joint Venture
bp and XRG have successfully completed the formation of Arcius Energy, a joint venture aimed at strengthening their global natural gas portfolio. Announced in February 2024, Arcius Energy is owned 51% by bp and 49% by XRG, ADNOC’s investment arm. The partnership combines bp’s 60 years of technical expertise and deep experience in gas operations with XRG’s significant investment capabilities. This collaboration is designed to position Arcius Energy as a key player in the natural gas industry, enabling both companies to meet rising global energy demands while advancing cleaner, lower-carbon energy solutions.
Initial Operations in Egypt and Future Expansion
The first phase of Arcius Energy’s operations will be in Egypt, where it will oversee two key development concessions and multiple exploration agreements assigned by bp. Egypt’s role as a regional energy hub in the Middle East and North Africa (MENA) makes it an ideal starting point for Arcius Energy’s growth. The joint venture will initially focus on the development of natural gas resources, with the aim to expand globally as part of a long-term strategy. By integrating renewable and lower-carbon energy sources with natural gas, Arcius Energy seeks to contribute to the region’s energy transformation and meet global energy needs.
A Vision for Accelerating the Energy Transition
H.E. Dr. Sultan Ahmed Al Jaber, Executive Chairman of XRG, emphasized that the formation of Arcius Energy is in line with XRG’s broader strategy to transform the global energy system. Al Jaber highlighted that the partnership’s focus on providing lower-carbon natural gas solutions will help meet the increasing global energy demand, supporting a transition to cleaner energy sources. This collaboration will also allow both companies to strengthen their positions in the integrated gas and chemicals sector, combining their expertise to provide smarter, cleaner, and more affordable energy options to markets around the world.
Leadership Appointments to Guide Strategic Growth
To ensure the success of Arcius Energy’s ambitious goals, the company has appointed two experienced leaders: Naser Saif Al Yafei as CEO and Katerina Papalexandri as CFO. Al Yafei and Papalexandri, both seasoned professionals with backgrounds at ADNOC and bp, bring decades of leadership experience to the platform. Their appointments are expected to guide Arcius Energy in the efficient development of its natural gas projects and expansion into new markets, while maintaining the high standards of operational safety and efficiency that both bp and XRG are known for.
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