ADNOC awards $548m contract for gas line at Lower Zakum field offshore Abu Dhabi

WCN Editorial Team 6 Sep 2022 MIDDLE EAST ENERGY & UTILITIES

Abu Dhabi National Oil Company (ADNOC) has awarded a $548m (AED2.01bn) engineering, procurement and construction (EPC) contract for a new main gas line at its Lower Zakum field offshore Abu Dhabi.

This award will boost Lower Zakum field’s gas production capacity from 430 million to 700 million standard cubic feet per day (mmscfd).

The contract was awarded by ADNOC Offshore to National Petroleum Construction Company (NPCC) following a competitive tender process.

The pipeline will cater for the grown volume of associated gas generated by the field as its oil production capacity rises to 450,000 barrels of oil per day by another three years.

ADNOC upstream executive director Yaser Saeed Almazrouei said: “This contract award will enable us to produce more gas as we increase production capacity from Lower Zakum field. This will support our integrated gas masterplan which is driving competitive gas recovery to enable gas self-sufficiency for the UAE and industrial growth, while also helping to meet the increasing global demand for energy.

“With over 75% in-country value resulting from the award, the project will further stimulate economic growth and create opportunities for the private sector, in line with the UAE Leadership’s wise directives.”

To be completed in 2025, the project will see the construction of a new subsea pipeline that will run 85km from Zakum West Super Complex to Das Island.

The contract also features provisions to build, install and test a new platform at the complex as well as a new gas receiving facility at Das Island.

ADNOC Offshore CEO Ahmad Saqer Al Suwaidi said: “Lower Zakum is a strategic asset for ADNOC and the UAE and working with our international partners, we will continue to responsibly unlock and maximize value from the field in line with ADNOC’s 2030 smart growth strategy.

“This award is an important part of the long-term development plan for the field and will help strengthen ADNOC’s position as a leading low-cost and low-carbon provider of energy for customers around the world.”

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Image: The contract was awarded by ADNOC Offshore to National Petroleum Construction Company. Credit: Abu Dhabi National Oil Company

 

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