UAE's Dana Gas Mulls Business Split

Private UAE gas firm Dana Gas is considering splitting its upstream and midstream businesses and listing the former on the Abu Dhabi securities exchange, the company said in a stock filing on March 31.

Sharjah-based Dana said it was studying whether to spin off its upstream operations, which include onshore and offshore assets in Egypt and concessions in Kurdish Iraq. It received bids for its Egyptian assets in February but a final decision on the sale has not yet been taken.

Dana is the biggest private gas company in the Middle East. It increased production of oil and gas to 66,200 boe/d  in 2019, up from 63,050 boe/d in the previous year, helping it to swing back to a net profit of $157mn.

"Our upstream business has grown considerably over the last 13 years and will continue to deliver growth in the years to come," company chairman Hamid Jafar said. "A pure-play upstream company may attract significant new investment both locally and internationally linked to future production growth."

Dana's remaining business, which is already listed in Abu Dhabi, comprises its gas import operations in the UAE.