Petrofac Bags Big Gas Projects: Will it Help UAE Achieve Self-Sufficiency?
Business, Energy, Markets

Petrofac Bags Big Gas Projects: Will it Help UAE Achieve Self-Sufficiency? 

A key member of the Organisation of the Petroleum Exporting Countries, the UAE is working towards achieving gas self-sufficiency and becoming a net gas exporter. Supporting this initiative of the country, oilfield services provider – Petrofac has bagged two contracts worth $1.65 billion from the Abu Dhabi National Oil Company (ADNOC).

As part of the deal, Petrofac Emirates will be providing engineering and construction works for the Dalma gas development project, which is a part of the Ghasha ultra-sour gas concession. All the engineering, procurement, construction, offshore installation, transportation and commissioning requirements will fall under this project.

Offshore packages at Arzanah island and surrounding offshore fields, situated nearly 140 km off the north-west coast of the Abu Dhabi, are a major part of the work. Valued at US$591 million, the second package has come up post the joint venture of Petrofac and Sapura Energy. The scope of work, under the 30-month lump-sum contract includes three new well-head platforms, removal and replacement of an existing topside, new pipelines, composite and fibre optic cables and subsea umbilical.

Speaking about the contract, the Chief Operating Officer – Engineering & Construction of Petrofac George Salibi said, “These latest contract awards build on our existing relationship with ADNOC Group companies and we look forward to delivering this mega project in a safe, successful and sustainable manner.”

Executive Director of ADNOC’s Upstream Directorate, Yaser Saeed said, “This award marks another important milestone in the development of the Ghasha concession which is an integral component of our strategy to achieve gas self-sufficiency for the UAE. It demonstrates how ADNOC is effectively collaborating with strategic partners that can deploy technologies and world-class expertise to accelerate the development of Abu Dhabi’s substantial gas resources.”

As per Saaed, almost 70 percent of the award value will flow into the UAE’s economy as in-country value. The award is expected to stimulate local economic growth and support the diversification of the nation’s economy keeping in mind the leadership’s wise directives.

Earlier this month, sources reported that for accelerating digital transformation, Petrofac has chosen Microsoft IOT. The Connected Construction initiative has been put forth with the aim of performance improvement. It tracks equipment and materials on-site, tracks people, enabling real-time insights and decision-making. Presently, it is undergoing controlled trials at a Petrofac EPC project in the Middle East.

Post witnessing delays in bidding processes hit new orders for engineering and construction segment, Petrofac has warned of a plunge in the annual revenue. The oilfield service provider has to submit annual results on Feb 25.

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