ADNOC awards offshore contracts for Hail/Ghasha gas project

Offshore staff

Abu Dhabi, UAE — ADNOC has taken final investment decision on the Hail and Ghasha development project offshore Abu Dhabi. The aim is to operate with net zero CO₂ emissions, supporting the company’s target of net zero by 2045.

At ADIPEC 2023, the company awarded two EPC contracts:

• One, for the offshore facilities including artificial islands and subsea pipelines, went to a joint venture between National Petroleum Construction Co. and Saipem; and
• Tecnimont has the contract for the onshore scope, including CO₂ and sulfur recovery and handling.  

Hail and Ghasha are part of the Ghasha concession, which should deliver more than 1.5 Bcf/d of gas before the end of the decade.

The development will combine innovative decarbonization technologies into one integrated solution, ADNOC said, capturing 1.5 MMmt/year of CO₂ and lifting the company’s committed investment for carbon capture capacity to almost 4 MMmt/year.

CO₂ will be captured, transported onshore and stored underground, while low-carbon hydrogen will be produced to replace fuel gas and further cut emissions. The project will also leverage clean power from nuclear and renewable sources from the grid.

Saipem said its share of the offshore contract carries a value of about $4.1 billion.

The EPC work scope covers four drilling centers and one processing plant to be built on artificial islands, various offshore structures and more than 300 km of subsea pipelines.

Saipem will deploy its shallow-water offshore vessels and welding technology for corrosion-resistant materials, and it has committed to work with ADNOC to sustain the project's focus on biodiversity and responsible environmental stewardship.

The company operates an engineering and project execution center in Abu Dhabi and a new offshore logistics base in Zayed Port.

ADNOC also announced new agreements at ADIPEC with 30 companies for local manufacturing of products by its supply chain to support decarbonization of its operations. Products to be manufactured locally include battery energy storage systems and uninterrupted power supply equipment, enabling replacement of diesel generators at ADNOC Offshore and ADNOC Drilling.

10.05.2023