Dubai: The United Arab Emirates' main state oil company has signed a deal giving China National Petroleum Company an 8 percent stake in a major onshore oil project.


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The Abu Dhabi National Oil Company says CNPC will pay an initial USD 1.77 billion for the concession operated by the Abu Dhabi Company for Onshore Petroleum Operations, also known as ADCO.


ADNOC has set aside 40 percent of the ADCO project for foreign partners. British energy company BP reached a deal for a 10 percent stake in December. Total of France has a similarly sized stake, while Japan's Inpex Corporation and GS Energy of South Korea hold smaller interests.


ADCO is aiming to boost daily production from about 1.6 million barrels currently to 1.8 million barrels this year.