“ADNOC Gas” has announced its final investment decision and the awarding of contracts worth $5 billion for the initial phase of the “Rich Gas Development Project.” This marks a significant milestone for the company and represents its largest capital investment to date.
The contracts will expand primary gas processing units to enhance productivity and operational efficiency across four of the company’s gas processing facilities: the “Asab Facility,” “Bu Hasa Facility,” “Habshan (Onshore) Facility,” and the Das Island Liquefied Natural Gas Facility (Offshore). The company also plans to make a final investment decision for two additional phases of the “Rich Gas Development Project” at “Habshan” and “Ruwais” to enable increased production capacity to meet the growing market demands.
The project’s aim is to develop new gas reservoirs, significantly contributing to the country’s liquefied gas exports, supporting efforts to achieve gas self-sufficiency in the UAE, and providing essential raw materials for the expanding petrochemical industry.
Contracts for engineering, procurement, and construction management (EPCM) have been awarded in three packages for the first phase of the project. The first package, valued at $2.8 billion for the “Habshan LNG Facility,” was awarded to “Wood.” The remaining two packages, valued at $1.2 billion for the “Das LNG Facility” and $1.1 billion for the “Asab” and “Bu Hasa” facilities, have been given to a consortium of companies including “Petrofac” and “Kente PLC.”
Fatima Al Naqbi, CEO of “ADNOC Gas,” stated, “The final investment decision and awarding of contracts for the first phase of the ‘Rich Gas Development Project’ represent a significant achievement in ADNOC Gas’s strategy, which aims to boost earnings before interest, taxes, depreciation, and amortization by more than 40% between 2023 and 2029. This strategic investment is expected to deliver substantial value to the company’s shareholders and facilitate the sustainable growth of the UAE and the company itself.”
The first phase of the “Rich Gas Project” will focus on enhancing existing gas assets, improving efficiency, and utilizing new and rich gas sources. As part of ADNOC Gas’s long-term strategy, which emphasizes growth and expansion while ensuring its operations are future-ready, the “Rich Gas Project” aligns with the company’s vision to implement several significant growth initiatives and projects between 2025 and 2029. Furthermore, the project underscores ADNOC Gas’s commitment to enhancing national content and the company’s plans to create hundreds of new specialized technical job opportunities by 2029, further supporting the country’s economic development.