ADNOC awards $510m contract to expand Shah Sour Gas plant capacity

ADNOC awards $510m contract to expand Shah Sour Gas plant capacity

State-owned company ADNOC announced the awarding of a $510m (Dhs1.87bn) engineering, procurement, and construction (EPC) contract to expand the capacity of its Shah Sour Gas Plant. The EPC contract for the Optimum Shah Gas Expansion (OSGE) project was awarded by ADNOC Sour Gas (ASG) to Italy's Saipem. Over 50 per cent of the award value will flow back into the UAE's economy under ADNOC's In-Country Value (ICV) programme. The project is expected to be completed in 2023 and will increase the processing capacity of the plant by 13 per cent, from 1.28 to 1.45 billion standard cubic feet per day (SCFD). Shah, located 210 kilometers southwest of Abu Dhabi city, came on stream in 2015 and the OSGE project represents a cumulative expansion to 145 per cent of the plant's original capacity. The scope of the OSGE project includes associated off-sites and utilities necessary to integrate the new facilities with existing installations, including gas gathering facilities, main gas plant, product pipelines and the sulfur granulation plant. The plant modifications have been designed for integration with existing facilities with no impact on the safety or integrity of the plant while minimizing impacts on production during construction, interfacing and commissioning, a statement