Italian Eni signed a concession agreement to acquire a 70% stake in the offshore Block 3 in Abu Dhabi’s largest offshore concession, the company announced in a statement on Monday.

The agreement led by Eni also includes another stakeholder -- a wholly-owned subsidiary of Thailand’s PTT Exploration and Production Public Company Limited (PTTEP), who holds the remaining 30% share.

Offshore Block 3, located northwest of the Abu Dhabi Emirate, is the largest area among other blocks that were offered for commercial bidding by Abu Dhabi National Oil Company (ADNOC) in May 2019 as part of Abu Dhabi’s second competitive block licensing round.

Under the terms of the agreement, Eni will operate the concession for oil and gas exploration and appraise the existing discoveries in the block that covers an area of approximately 11,660 square kilometers.

"The exploration phase of the agreement has a maximum period of up to 9 years and, subject to successful exploration, and overall concession term will extend to 35 years from commencement of the exploration phase for development and production phases in which ADNOC has the option to hold a 60% stake," the company stated.

Eni has been present in Abu Dhabi since 2018 with a 10% stake in the Umm Shaif and Nasr Offshore concession plus a 5% stake in the Lower Zakum concession, as well as a 25% stake in the Ghasha concession that is approaching a final investment decision.