ADNOC Builds Towards First oil Production From One of its Youngest Company
The Abu Dhabi National Oil Company (ADNOC) has actually announced a significant milestone for among its youngest operating companies, Al Dhafra Petroleum, with a major capital investment to develop centers and enable oil production from Haliba field, situated along the south-east border of Abu Dhabi.
ADNOC's plans to begin production from Haliba with a preliminary capacity of 20,000 barrels of oil each day by mid-2019, gradually raising to 40,000 barrels each day by 2020. An Engineering, Purchase and Construction (EPC) contract has actually been awarded for the jobs to Larsen & Toubro (L&T) Hydrocarbon Engineering Ltd, by ADNOC subsidiary, Al Dhafra Petroleum that run the area.
Phase one of the EPC job will certainly consist of 32 wells and construction of a 65km pipe to carry crude oil from Haliba area wells to ADNOC Onshore's Asab Central Degassing Terminal for handling. Stabilized crude oil will certainly after that be transported through ADNOC Onshore's existing main oil lines to the marine export terminals. The new production facilities will take advantage of the latest digital oil field automation technology to enhance performance, boost security and optimize expenses.
The investment is a vital step towards shipment of ADNOC's 2030 smart growth technique that looks for to boost oil and gas production ability and maximize efficiency, as it provides a much more successful upstream business. Al Dhafra Oil is the very first joint venture in between ADNOC and Korea National Oil Corporation (KNOC) and GS Energy, which is represented by the Korean Abu Dhabi Oil Consortium (KADOC), and the statement shows the ongoing success of this partnership.
Abdulmunim Al Kindy, Director of Upstream at ADNOC said: "This is a major turning point for Al Dhafra Petroleum, causing the distribution of first oil in 2019. The framework investment will certainly raise our Group-wide production capability and enhance our possessions by using our existing onshore facilities, allowing ADNOC to develop formerly untapped oil gets in an efficient method. It is a vital action in the direction of enhancing the earnings of ADNOC's Upstream business as we deliver on our 2030 Strategy.
" L&T Hydrocarbon Engineering has been selected to provide this project after a competitive tendering procedure, making certain that as shareholders, ADNOC and KADOC, take full advantage of value from the financial investment in Haliba, and we partner with a company that could release sophisticated engineering and innovation to support our Group-wide drive for greater performances, increased productivity and minimized costs."
Phase one of the Development Project will certainly be completed in 2020 with phase 2 delivering future expansion of Al Dhafra Oil's production capability by using surrounding marginal areas and prospects, possibly boosting production capacity to beyond 40,000 barrels each day by very early 2022.
As part of ADNOC's commercial evaluation process, the company meticulously took into consideration the level to which bidders for the Haliba EPC agreements would certainly assist to drive in-country worth (ICV) for the UAE. By incorporating ICV criteria and making certain that the contractor implements and creates ICV, ADNOC is delivering on its new in-country worth method, aimed at supporting brand-new local and worldwide collaborations and opportunities, catalysing socio-economic growth, developing work possibilities and improving knowledge transfer.
Al Dhafra Oil is a young and dynamic organization, which was established in 2013. It is focused on checking out and developing its giving in areas to assess the business worth of numerous promising new fields.
