NPCC signs Dh2.8bn deal for offshore oilfield work

Published Date : 20, Jun 2013

Abu Dhabi has awarded a mega contract to expand its oil output from off- shore Umm Lulu fields. Abu Dhabi Marine Operating Company or Adma-Opco has signed Dh2.8 billion Engineering, Procurement and Construction, or EPC, contract for Umm Lulu (UL) full field development project package-1 with the National Petroleum Construction Company, or NPCC.

The UL development is a strategic initiative of Adnoc and fits within the context of Adma-Opco’s plans to add 300,000 bpd of additional production from its new fields: Umm Lulu, Nasr and Satah Al Razboot (Sarb) as part of its overall scheme to raise its oil production from the current 600,000 bpd to around one million bpd by 2020.Offshore developments are playing a key role in Abu Dhabi’s efforts to increase its crude production capacity to 3.5 million bpd from today’s estimated 2.7 million bpd.

The EPC work entails the construction and installation of six new well head towers along with a riser platform topside, 90 kilometers long infield pipelines, 125 kilometers long main oil lines, and 100 kilometers long fiber optic Cables. The project involves Brownfield modifications on two existing wellhead towers in UL Field.

The field is being developed in two phases; in Phase-1, the early production two WTHs are being installed along with other facilities and the well fluids will be processed through the facilities of an Adnoc Group company; the EPC work of this phase is currently in progress. UL Phase II includes the EPC work of Package-1, and work of Package-2 which comprises the construction of a SuperComplex consisting of a gas treatment platform, a separation platform, a riser platform, a utilities platform, an accommodation platform, a water disposal platform and two flare platforms. Adma-Opco has recently signed two EPC contracts valued at Dh8.8 billion for SARB Full Field Development Project with South Korea’s Hyundai Engineering & Construction Company (Hdec) and Petrofac International, Abu Dhabi.

The full field development of Umm Al-Lulu and Sarb oil and gas fields should contribute to an incremental 200,000 bpd. The contract was signed at Adma-opco’s Headquarters by Ali Rashed Al Jarwan, chief executive officer of Adma-Opco, and Ali Ghanim bin Hamoodah, senior vice-president (Projects-Engineering) for Adma-Opco. 

Aqeel Madhi, chief executive officer of NPCC and Hanna Dahdah, NPCC vice-president (Contracts) signed for NPCC, in presence of Shafique Al Dhiyebi, senior vice-president (Projects) NPCC. Also present were senior executives from both companies.

Following the signing ceremony, Al Jarwan commended the prudence of the Government of Abu Dhabi and the unlimited support given by the leadership to the oil and gas production enhancement plans. “The contract signing comes under the guidance of Abu Dhabi Government and the support of the Supreme Petroleum Council and the shareholders,” he said.