Gulf Construction Online - Adnoc awards $1.46bn contracts for Dalma jobs

Contractors

Officials of Adnoc and the EPC contractors at the signing ceremony.

Adnoc awards $1.46bn contracts for Dalma jobs

01 December 2021

Abu Dhabi National Oil Company (Adnoc) has awarded two engineering, procurement and construction (EPC) contracts worth a total of $1.46 billion for the Dalma Gas Development Project.

The Dalma field is part of the Ghasha Concession which is the world’s largest offshore sour gas development and an important enabler of gas self-sufficiency for the UAE.

The two EPC contracts, awarded to National Petroleum Construction Company (NPCC) and a joint venture (JV) between Técnicas Reunidas and Target Engineering, include the construction of gas conditioning facilities, wellhead topsides, pipelines and umbilicals.

Seventy per cent of the award value will flow back into the UAE’s economy under Adnoc’s successful In-Country Value (ICV) programme.

Package A of the two Dalma EPC contracts was awarded to NPCC and is valued at $514 million (AED1.89 billion). It covers the EPC of four offshore wellhead towers, pipelines and umbilicals in Hair Dalma, Satah, and Bu Haseer fields.

Package B, awarded to the Técnicas Reunidas and Target Engineering JV, is valued at $950 million and covers the EPC of gas conditioning facilities for gas dehydration, compression and associated utilities on Arzanah Island located 80 km from Abu Dhabi.

Yaser Saeed Almazrouei, Adnoc Upstream Executive Director, 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.

Both engineering contracts are expected to be completed in 2025 and will enable the Dalma field to produce around 340 million standard cu ft per day (mmscfd) of natural gas. The offshore Dalma field is located 190 km northwest of the Emirate of Abu Dhabi.

The Ghasha mega development includes one of the UAE’s largest ever marine environmental baseline surveys, underpinning Adnoc’s commitment to sustainability. Its use of three artificial islands provides significant environmental benefits as well as cost savings by eliminating the need to dredge more than 100 locations for wells while also providing additional habitats for marine life.