PetroChina (NYSE: PTR) will take 10% stakes in two of Abu Dhabi National Oil Co.’s (ADNOC) offshore concessions under a 40-year agreement signed on March 21.

PetroChina paid a participation fee of 2.1 billion dirhams (US$575 million) for the Umm Shaif and Nasr concession and a fee of 2.2 billion dirhams (US$600 million) for the Lower Zakum concession, ADNOC said in a statement.

In the Umm Shaif and Nasr concession, PetroChina joined France’s Total (NYSE: TOT) and Italy’s Eni (NYSE: E), which were recently awarded a 20% and 10% stake respectively.

In the Lower Zakum concession, China National Petroleum Corp. (CNPC) joins an Indian consortium led by ONGC Videsh, Japan’s INPEX, Total and Eni.

ADNOC retains a 60% majority share in both concessions.

“These agreements strengthen our growing relationship with ADNOC, and will help to meet China’s expanding demand for energy and contribute to asset portfolio optimization and profitability enhancement of PetroChina,” Wang Yilin, chairman of both PetroChina and its parent CNPC, said in a statement.

The 40-year agreements, signed by ADNOC and CNPC, are backdated to March 9, 2018, ADNOC said.

In February 2017, CNPC, China’s largest oil and gas producer, was awarded an 8% interest in Abu Dhabi’s onshore concession, operated by ADNOC Onshore. It also has a 40% stake in the Al Yasat concession with ADNOC.

“Energy cooperation is an increasingly important aspect of the UAE’s relations with China, the number 1 oil importer globally and a major growth market for our products and petrochemicals,” Sultan Ahmed al Jaber, ADNOC Group CEO, said in the statement.

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