Today's Edition
ABU DHABI (ALETIHAD)
ADNOC Gas has taken a final investment decision (FID) to award $5 billion in contracts for the first phase of its Rich Gas Development (RGD) Project, a statement from the company said. The largest-ever capital investment is a part of the company's strategy to boost EBITDA by 40% between 2023 and 2029.
The initial phase of the RGD project focuses on expanding and enhancing key processing units across four of ADNOC Gas’s facilities: Asab, Buhasa, Habshan (Onshore), and the Das Island liquefaction facility (Offshore). “These improvements aim to increase throughput and improve operational efficiency,” the statement said.
The Engineering, Procurement and Construction Management (EPCM) contracts for this phase have been divided into three tranches. Wood was awarded the first tranche, valued at $2.8 billion, for the Habshan facility. The remaining two tranches were awarded to consortia involving Petrofac and Kent Plc, with $1.2 billion allocated for the Das Island liquefaction facility and $1.1 billion for the Asab and Buhasa facilities.
Fatema Al Nuaimi, CEO of ADNOC Gas, said: “This strategic investment is expected to deliver significant new value for our shareholders and enable continued sustainable growth for the company, our employees, and the UAE.”
The RGD project is crucial for developing new gas reservoirs, which will increase liquid gas exports, contribute to the UAE's gas self-sufficiency, and provide essential feedstock for the petrochemical industry.
ADNOC Gas plans to take FID on two further phases of the RGD project at Habshan and Ruwais, aiming to further increase production capacity to meet rising market demands. Beyond the immediate operational benefits, the RGD project aligns with ADNOC Gas's long-term vision for growth and future-proofing its business. It also underscores the company's commitment to In-Country Value (ICV), with plans to create hundreds of new field-based technical positions by 2029, thereby contributing to the UAE's economic development.
