ABU DHABI - Exploration Background.

In 1934 British geologist Percy Cox was sent to Abu Dhabi by Anglo-Persian Oil (now BP) to help then ruler Shaikh Shakhbut with problems of water supply. Cox quickly recognised the area had oil. In 1935-36 Anglo-Persian led a group of six firms called Petroleum Development/Trucial Coast (PD/TC) and negotiated an oil concession. An agreement was signed in 1939. PD/TC in 1936 had acquired concessions covering Dubai and other parts of what was then controlled by the British and known as Trucial Coast. But it relinquished Dubai in 1961. Conoco of the US took over that concession under the name of Dubai Petroleum Co. (DPC), and got 60% of Dubai Marine Areas (DUMA) that had been formed in 1954 by Compagnie Francaise des Petroles (Total) and Hispanoil (Repsol). But there were problems with Shaikh Shakhbut. As a result, in 1951 arbitrators ruled PD/TC's concession should be limited to areas under Shakhbut's authority at the time of the award. PD/TC's concession was reduced to the onshore, islands and the contiguous three-mile offshore to be exploited by Abu Dhabi Petroleum Co.

The territorial waters beyond the 3-mile zone were awarded to International Marine Oil Co. (Superior Oil), which withdrew after limited seismic work. In March 1953 this concession was awarded to D'Arcy Exploration (Anglo-Persian). In May 1954 Abu Dhabi Marine Areas (ADMA) was formed comprising Anglo-Persian and CFP. Initial work was a seabed survey by the famed French subaquatic explorer, Jacques Cousteau. This led to the discovery of the Umm Shaif giant (see Part 2).