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Dalma Gas Project: ADNOC Awards US$ 1.65bn Construction Contracts

Dalma Gas offshore facilities: ADNOC awards US$ 1.65bn construction contracts

The Abu Dhabi National Oil Company (ADNOC) has awarded two contracts worth $1.65 billion (AED 6.06 billion) for the construction of offshore facilities for the Dalma Gas Development Project.

The two Engineering, Procurement and Construction (EPC) contracts have been awarded to Petrofac Emirates LLC, and a joint venture between Petrofac and Sapura Energy Berhad through its subsidiary’s branch office in Abu Dhabi, according to ADNOC.

The Contracts

Package A EPC contract, valued at $591 million (AED2.17 billion) and awarded to a joint venture, JV, between Petrofac and Sapura Energy, the JV will execute the engineering, procurement and construction of four offshore wellhead towers, pipelines and umbilicals in Hair Dalma, Satah, and Bu Haseer fields.

Package B EPC contract, valued at $1.065 billion (AED3.9 billion) and awarded to Petrofac, the contractor will carry out the engineering, procurement and construction of gas conditioning facilities for gas dehydration, compression and associated utilities in Arzanah Island located 80 kilometres from Abu Dhabi city. The gas will then be sent to Habshan Gas Processing Plant for further processing required to produce sales gas, condensate, and sulfur.

The project, located about 190km northwest of Abu Dhabi city, is a key part of the Ghasha ultra-sour gas concession and the projects, once completed in 2022, the project will be able to produce around 340 million standard cubic feet per day (mmscfd) of natural gas.

The project is part of ADNOC’s 2030 strategy to make UAE self-sufficient in gas and 70 per cent of the total award value will flow into the UAE’s economy under ADNOC’s In-Country Value (IVC) programme. Speaking about the contracts, Yaser Saeed Almazrouei, Executive Director of ADNOC’s Upstream Directorate, said, “This award marks another important milestone in the development of the Ghasha concession which is an integral component of our strategy to achieve gas self-sufficiency for the UAE. It demonstrates how ADNOC is effectively collaborating with strategic partners that can deploy state-of-the-art technologies and world-class expertise to accelerate the development of Abu Dhabi’s substantial gas resources.”