As we get ready to unveil our Top 25 EPC contractors in our October issue, we have observed a continued momentum for project activity in the Middle East region with 2 major awards by ADNOC. Oil & Gas Middle East lists – in no particular order or ranking – the major contracts secured for diverse projects in the sector for the month of September 2022.
Editor’s note: This list is not a ranking.
Drilling Deals
Scope of work: Directional Drilling and Logging While Drilling
Abu Dhabi National Oil Co (ADNOC) announced the award of five framework agreements valued at $1.83 billion for directional drilling and Logging While Drilling in line with the company’s goal to expand production capacity to meet the world’s growing demand for energy.
According to a company press release, these framework agreements are the “largest of such awards in the oil and gas industry,” which were awarded to five service giants including Al Ghaith Oilfield Supplies and Services Co, Al Mansoori Directional Drilling Services, Schlumberger, Halliburton and Weatherford.
Lower Zakum field
Scope of work: EPC
Abu Dhabi National Oil Co (ADNOC) has awarded a $548 million EPC contract to state-owned National Petroleum Construction Co (NPCC) to build a new main gas line at its Lower Zakum field offshore of Abu Dhabi.
The award will increase Lower Zakum field’s gas production capacity from 430 to 700 Mcf/d, supporting ADNOC’s plans to enable gas self-sufficiency, the company said on September 5.
Steel pipes
Scope of work: Supply of steel pipes
The world’s largest oil company Saudi Aramco has awarded a deal worth $40 million to Saudi Steel Pipe Co for the supply of oil and gas steel pipes.
Saudi Steel Pipe expects to see financial impact from its new order in the second and third quarters of 2023, the company said in a bourse filing.
In May, the pipe producer signed a 10-month contract worth SR 97 million with Saudi Aramco to supply the latter with oil and gas steel pipes.
Idku energy hub project
Scope of work: FEED
US LNG engineering and construction giant Bechtel and its partners Enppi and Petrojet have been awarded a FEED contract by Shell Egypt, EGAS and Petronas for the Idku energy hub project in Egypt.
The Bechtel-led coalition will study a proposed unified power system between the onshore gas processing plant of the West Delta Deep Marine (WDDM) gas fields in the Mediterranean Sea off the coast of Egypt and the Egyptian LNG export terminal (ELNG) in Idku, east of Alexandria.
Haliba oil field
Scope of work: Field maintenance
UK-headquartered service giant Petrofac has been awarded a two-year field maintenance contract extension with ADNOC Group’s, Al Dhafra Petroleum. Under the agreement, Petrofac will continue to support operations at the Haliba oil field, located onshore along the south-east border of Abu Dhabi, providing specialist personnel to maintain and support facilities.
Nick Shorten, CEO for Petrofac’s Asset Solutions business, said: “This award is testament to our teams’ performance and service delivery. Petrofac has a strong track-record supporting key projects in the UAE, delivering locally, in-country. We look forward to continuing to add value, maintaining these important facilities in a safe and sustainable manner.”