ADNOC announces $548 million contract for new main gas line at its Lower Zakum field

ADNOC announces $548 million contract for new main gas line at its Lower Zakum field

ABU DHABI, 5th September, 2022 (WAM) -- Abu Dhabi National Oil Company (ADNOC) today announced the award of a US$548 million (AED2.01 billion) contract to build a new main gas line at its Lower Zakum field offshore of Abu Dhabi.

The award will increase the Lower Zakum field’s gas production capacity from 430 million to 700 million standard cubic feet per day (MMSCFD), supporting ADNOC’s plans to enable gas self-sufficiency for the UAE and cater to increasing global energy demand.

The Engineering, Procurement and Construction (EPC) contract was awarded by ADNOC Offshore to National Petroleum Construction Company (NPCC) after a competitive tender process. Over 75 percent of the award value will flow back into the UAE economy under ADNOC's In-Country Value (ICV) programme and job opportunities will be created for UAE Nationals by the contractor, providing them practical exposure to executing EPC contracts.

The new pipeline will cater to the increased volume of associated gas produced by the Lower Zakum field as the field’s oil production capacity increases to 450,000 barrels of oil per day by 2025.

Yaser Saeed Almazrouei, ADNOC Upstream Executive Director, said, "This contract award will enable us to produce more gas as we increase production capacity from the Lower Zakum