Adnoc Awards Sour Gas Feed Contracts
Abu Dhabi National Oil Company (Adnoc) announced January 9 it has awarded design contracts to US contractor Bechtel and France’s TechnipFMC for its planned offshore ultra-sour gas mega project.
It consists of the Hail, Ghasha and Dalma fields, offshore northwest Abu Dhabi in the United Arab Emirates (UAE). Adnoc believes it will meet 20% of the UAE gas demand by the second half of the 2020s.
The Hail, Gasha and Dalma project taps into Abu Dhabi’s Arab formation, which Adnoc estimates to hold multiple trillions of cubic feet of recoverable gas, and from which the project is expected to produce over 1bn ft3/d (10.3bn m3/yr) -- enough gas to provide electricity to two million homes.
Bechtel (UK) was awarded Hail & Ghasha Feed, while TechnipFMC was awarded the Dalma feed contract. Neither has issued statements yet on the awards; no contract values have been disclosed.
UAE Minister of State and Adnoc CEO Sultan Ahmed Al Jaber said: “This Feed award provides ADNOC with the potential to unlock additional undeveloped sour gas reserves and will allow us to deliver against our strategic objective to ensure a sustainable and economic supply of gas.” Adnoc upstream director Abdulmunim Saif Al Kindy added: "In progressing these projects, we create the potential to capitalize on our success and experience in ultra-sour gas production, gained from the development of the Shah field, the largest project of its kind in the world.”
Adnoc has said, from the onset of the Feed phase, it will implement for the first time an integrated project delivery approach, enabling it to curb costs, maintain schedules, and involve all relevant stakeholders – including eventual final (EPC) contractors. It also said it close to awarding five technology licensor contracts covering: gas treatment; a sulphur recovery unit; natural gas liquids; condensates recovery (hydro treaters); and hydrogen generation – adding such technologies are “critical to the successful execution of the FEED phase.”
The award of Feed contracts follows the awarding of the project management consultancy, and artificial islands design and survey, contracts respectively to UK consultancy Artelia and US contractor KBR.