ADNOC Awards $2Bln in Contracts for the Hail, Ghasha Gas Development Project

ADNOC Awards $2Bln in Contracts for the Hail, Ghasha Gas Development Project

Abu Dhabi National Oil Company (ADNOC) announced Wednesday awarding two substantial contracts totaling AED7.49 billion ($2 billion) to ADNOC Drilling for the Hail and Ghasha Development Project.

The contracts comprise AED4.89 billion ($1.3 billion) for integrated drilling services and fluids, and AED2.6 billion ($711 million) for the provision of four Island Drilling Units.

A third contract, valued at AED2.5 billion ($681 million), was also awarded to ADNOC Logistics and Services for the provision of offshore logistics and marine support services.

More than 80% of the value of the awards will flow back into the UAE’s economy under ADNOC’s successful In-Country Value (ICV) program, the company announced, adding that all three of the contracts will cover the Hail and Ghasha drilling campaign for a maximum of 10 years.

The project is part of the Ghasha Concession, which is the world’s largest offshore sour gas development and a key component of ADNOC’s integrated gas masterplan, as well as an important enabler of gas self-sufficiency for the United Arab Emirates.

Dr. Sultan Ahmed al-Jaber, Minister of Industry and Advanced Technology and Managing Director and Group CEO of ADNOC, said the company is committed to unlocking the UAE’s abundant natural gas reserves to enable domestic gas self-sufficiency, industrial growth