(Adds Mubadala spokesman's statement)
DUBAI Dec 19 State investment fund Mubadala
Development Co will control a 2 percent stake in BP sold
to Abu Dhabi in exchange for a holding in Abu Dhabi Company for
Onshore Petroleum Operations (ADCO), a spokesman said on Monday.
* The firm became the second Western oil major to renew a
40-year onshore concession in Abu Dhabi on Saturday after almost
two years of negotiations to improve terms to help operate the
United Arab Emirates' biggest oilfields.
* In exchange for the 10 percent stake in ADCO, BP agreed to
issue new ordinary shares to Abu Dhabi worth 1.76 billion pounds
* "The investment will sit within Mubadala and will be
managed, as we have with previous investments made by Abu Dhabi,
for the strategic benefit of the emirate," Mubadala spokesman
Brian Lott told Reuters.
* When asked if Mubadala would seek representation on BP's
board, Lott said it was "too early to say".
* The ADCO concession, including the Bab, Bu Hasa, Shah and
Asab fields, has total resources of between 20 billion-30
billion barrels of oil equivalent over the term of the
concession. The fields produce 1.6 million barrels per day
(bpd) and are expected to reach 1.8 million bpd from 2017.
* Mubadala is currently being merged with fellow state
investment fund International Petroleum Investment Company.
($1 = 0.8011 pounds)
(Reporting by David French; Editing by Sherry Jacob-Phillips
and Jane Merriman)