New initiative will extend Adnoc Gas’ existing pipeline network from 3,200km to over 3,500km
Adnoc Gas has awarded US $1.34bn in contracts to Petrofac Emirates and a consortium comprising National Petroleum Construction Company and CAT International. The project is focused on expanding the company’s extensive natural gas pipeline network.
A unit of Abu Dhabi National Oil Company (Adnoc), the company said the work is being implemented under the sales gas pipeline network enhancement (Estidama) programme.
The new pipeline will extend Adnoc Gas’ existing pipeline network from approximately 3,200km to over 3,500km, enabling the transportation of higher volumes of natural gas to customers in the northern emirates of the UAE.
This strategic pipeline extension will drive further growth for Adnoc Gas as it continues to supply sustainable gas supplies in the UAE, in support of the company’s strategy to increase its market share and enhance its customer base.
“Our strategic network expansion will bring the advantages of lower-cost, sustainable and cleaner gas to more locations across the UAE by enhancing industrial access to natural gas, a cost-competitive and lower-carbon intensive fuel. The expanded pipeline will drive further growth for Adnoc Gas and our shareholders as we deliver on our mandate to achieve gas self-sufficiency for the UAE,” said Adnoc Gas CEO, Ahmed Mohamed Alebri.
As part of Adnoc’s highly successful in-country value (ICV) programme, which aims to enhance the UAE’s local value chain by encouraging local manufacturing and supporting local industries, over 70% of the contracts’ value is expected to flow back into the UAE economy.
Adnoc’s integrated gas masterplan connects all parts of the UAE’s gas value chain, ensuring a sustainable and economical supply of natural gas to meet local and international demand. The plan includes innovative approaches and technologies to increase gas recovery from existing fields as well as developing untapped resources.