Abu Dhabi National Oil Company’s subsidiary ADNOC LNG has awarded an AED3.16bn ($860m) contract for the provision of engineering, procurement and construction (EPC) services for the second phase of the Integrated Gas Development Expansion project.

The contract was bagged by a consortium of Spanish firm Tecnicas Reunidas and UAE-based Target Engineering Construction Company.

Set to be completed in 54 months, the second phase is expected to increase the amount of gas sent from Das Island in the Persian Gulf to the ADNOC Gas Processing’s Habshan gas facilities by 245 million cubic feet per day.

This will add to the company’s exiting offshore gas processing capacity of 1.4 billion cubic feet per day. Gas processed at the Habshan facilities will be used in power generation.

Under the contract, the consortium will handle engineering, equipment and material supply, construction, installation, testing and commissioning of compression, drying and gas treatment units, as well as power generation and other auxiliary services.

The scope of the contract includes the construction and commissioning of new gas facilities on Das Island.

"Additionally, the contract involves the construction of two 80 million cubic feet per day amine-based fuel gas treatment units."

The consortium will build a new 60 million cubic feet per day booster compression train, as well as two feed gas compression and dehydration trains, each with a capacity of 123 million cubic feet per day.

Additionally, the contract involves the construction of two 80 million cubic feet per day amine-based fuel gas treatment units.

Adnoc LNG acting CEO Fatema Mohamed Al Nuaimi said: “This agreement is a significant milestone as we work across the gas value chain to further integrate our offshore and onshore gas systems.

“It will enable us to deliver greater efficiency and performance, maximise the value of our gas assets and pursue our strategic objective to ensure a sustainable and economic gas supply that meets Abu Dhabi’s growing energy needs.”

Adnoc commenced its AED40bn ($11bn) Integrated Gas Development programme in 2009 in an effort to facilitate the transfer of one billion cubic feet a day of gas from the offshore Umm Shaif field, via Das Island, to onshore facilities at Habshan and Ruwais.

After the completion of the programme in 2013, the first phase of the gas development expansion project was launched in 2015 and was concluded last month.