(MENAFN - Kuwait News Agency (KUNA)) Abu Dhabi National Oil Company (ADNOC) and Korea National Oil Corporation (KNOC) have hammered out an oil storage and management agreement.
General Sheikh Mohammed bin Zayed Al Nahyan, Abu Dhabi Crown Prince and Deputy Supreme Commander of the UAE Armed Forces, and South Korean President Lee Myung-bak attended the signing ceremony.
The agreement was signed by Abdulla Nasser Al Suwaidi, Director General of ADNOC), and Moon Kyu Suh, President and CEO of KNOC. The agreement came following the signing of a memorandum of understanding for cooperation in the oil and gas sector, which was signed in March 2011 between the Emirate of Abu Dhabi and Korean government.
The agreement is expected to enhance the energy security of Korea and reduce the burden on the Korean government's budget and provide a right to purchase Abu Dhabi crude oil in the strategic petroleum reserve (SPR) in the event of an oil shortage.
The agreement will enhance Abu Dhabi's standing as one of the world's most secure sources of Energy; ADNOC has pre-positioned crude oil in a strategic hub for the Northeast Asia region.