ADNOC awards $1.46bn contracts for Dalma gas field offshore Abu Dhabi
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ADNOC awards $1.46bn contracts for Dalma gas field offshore Abu Dhabi

18 Nov 2021 (Last Updated November 18th, 2021 12:13)

The contracts have been awarded to National Petroleum Construction, and JV between Técnicas Reunidas and Target Engineering.

ADNOC awards $1.46bn contracts for Dalma gas field offshore Abu Dhabi
Officials from ADNOC among others during contracts signing ceremony. Credit: Abu Dhabi National Oil Company.

Abu Dhabi National Oil Company (ADNOC) has awarded two contracts worth $1.46bn (AED5.36bn) in total for the Dalma gas field in the Persian Gulf offshore Abu Dhabi.

National Petroleum Construction Company (NPCC) has received the first project (Package A) of the two Dalma engineering, procurement, and construction (EPC) contracts.

Under the $514m (AED1.89bn) contract, NPCC will build offshore wellhead towers, pipelines and umbilicals in Hair Dalma, Satah, and Bu Haseer fields.

A joint venture (JV) between Técnicas Reunidas and Target Engineering has secured Package B valued at $950m (AED3.49bn).

The contract includes the EPC of gas conditioning facilities required for gas dehydration, compression and associated utilities on Arzanah Island.

ADNOC upstream executive director Yaser Saeed Almazrouei said: “The award of the Dalma EPC contracts, as well as ongoing artificial island construction and development drilling underscore the progress of the Ghasha mega-development.

“As we continue to execute this strategic project, we  are ensuring it delivers substantial In-Country Value to drive economic growth and support the objectives of the UAE’s Principles of the 50, set out by the country’s wise leadership.”

The firms plan to complete work under the contracts in 2025. This allows the Dalma field to produce around 340 million standard cubic feet per day of natural gas.

The field forms part of the Ghasha concession, which also includes oil and gas fields – Hail, Ghasha, Nasr and Mubarraz.

Valid for 40 years, the Ghasha Concession is said to be the world’s largest offshore sour gas development.

Furthermore, ADNOC awarded a contract to Technip Energies to update the Ghasha concession’s front-end engineering and design.

ADNOC said that three artificial islands have already been completed in the Ghasha concession area, which is planned to start production around 2025.

The concession is expected to have a peak production capacity of more than 1.5 billion standard cubic feet per day before the end of 2030.

ADNOC is planning to award engineering and construction contracts worth $20bn for natural-gas projects in a bid to boost fuel exports, reported Bloomberg.