Adnoc awards two contracts worth $245m to upgrade main oil lines and facilities in UAE

WCN Editorial Team 10 Sep 2020 MIDDLE EAST ENERGY & UTILITIES

ADNOC Onshore, a subsidiary of Abu Dhabi National Oil Company (ADNOC), has awarded two EPC contracts to upgrade two main oil lines and crude receiving facilities at the Jebel Dhanna Terminal in Abu Dhabi, UAE.

The two contracts, worth AED899.9m ($245m), were awarded to China Petroleum Pipeline Engineering Company Limited – Abu Dhabi and Abu Dhabi-based Target Engineering Construction.

Under the first contract, valued at $135m, China Petroleum will replace two MOLs transporting ADNOC’s Murban crude oil from its oilfields at Bab (BAB), Bu Hasa (BUH), North East Bab (NEB) and South East (SE) to the Jebel Dhanna Terminal.

The project will increase the pipelines’ capacity by more than 30% and is expected to be completed in 30 months.

Under the second contract, worth $110m, Target Engineering will upgrade the crude receiving facilities at the terminal.

Expected to be completed in 20 months, the upgrade will support ADNOC to use part of the Jebel Dhanna Terminal’s facilities to import Upper Zakum (UZ) crude oil from offshore and Non-System (NS) crude, to be delivered to the new Ruwais Refinery West (RRW) project, located about 12km to the east of Jebel Dhanna Terminal.

ADNOC upstream directorate executive director Yaser Saeed Almazrouei said: “The EPC contracts awarded by ADNOC Onshore will increase the capacity of the two main oil lines and upgrade the Jebel Dhanna Terminal to enable it to receive Upper Zakum and Non-System crude for delivery to the Ruwais Refinery West project.

“The awards follow a very competitive tender process and highlight how ADNOC is making smart investments to optimize performance and unlock greater value from our assets.

“Crucially, a significant portion of the awards will flow back into the UAE’s economy under ADNOC’s ICV program, reinforcing our commitment to maximize value for the nation as we create a more profitable upstream business and deliver our 2030 strategy.”

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ADNOC awards two contracts to upgrade pipelines and terminal facilities in UAE. (Credit: Abu Dhabi National Oil Company.)

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