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ADNOC awards FEED contracts of ultra-sour gas project to Bechtel, TechnipFMC

EBR Staff Writer Published 10 January 2018

Abu Dhabi National Oil Company (ADNOC) has given Front End Engineering Design (FEED) contracts to Bechtel (UK) and TechnipFMC (UAE) for its offshore ultra-sour gas mega project to develop the Hail, Ghasha and Dalma fields in the UAE.

While Bechtel won the Hail & Ghasha FEED contract, TechnipFMC (UAE) bagged the Dalma FEED contract from the state-owned oil company.

The Sour Gas Hail, Ghasha and Dalma Project will be located in the northwest offshore area of Abu Dhabi. Once completed, it could meet 20% of the gas demand in the UAE by the second half of the next decade, stated ADNOC.

ADNOC upstream business director Abdulmunim Saif Al Kindy said: “The decision to award both FEED contracts came after a rigorous and extremely competitive tendering process, ensuring we will strictly manage costs by working with contractors that can deploy effective engineering and robust value-add technologies.”

The company said that the project would exploit the Abu Dhabi’s Arab formation, which has been estimated to contain multiple trillions of cubic feet of recoverable gas. The project will be designed to draw over a billion cubic feet of gas per day (cfd), which would be enough gas to deliver electricity to two million households.

UAE Minister of State and ADNOC Group CEO Sultan Ahmed Al Jaber said: “The growth in energy demand in Abu Dhabi, and the wider UAE, has prompted ADNOC to further harness its gas resources, as part of its 2030 smart growth strategy.

“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 said that it will award five technology licensor contracts shortly which would include gas treatment licensor, a sulphur recovery unit (SRU) licensor, a natural gas liquids (NGL) licensor, a condensates recovery (hydro treaters) licensor and a hydrogen generation licensor.

The company revealed that the five technologies are highly important to the successful implantation of the FEED phase.

In August 2017, ADNOC awarded a Project Management Services (PMC) to KBR for management of the FEED phase of the development of the Hail and Ghasha fields.

Image: ADNOC’s offshore ultra-sour gas mega project will develop the Hail, Ghasha and Dalma fields. Photo: courtesy of Abu Dhabi National Oil Company.