| Country |
: |
UAE |
| Project Value |
: |
USD 10,000,000,000 Estimated |
| Sector |
: |
Oil and Gas | Exploration & Production |
|
Consultant |
: |
Fluor Mideast Limited
(FEED) |
|
PMC |
: |
Fluor Mideast Limited
|
|
Sub-Contractor |
: |
Metito Overseas Limited
(Design, Engineer and Supply) |
| Profile Type |
: |
Master Project
|
| Associated Projects |
: |
Contract (11) | Related Projects (1) |
|
Phase:
EPC - Execution
|
|
Completion: 2014
|
|
|
|
| Background |
The JV of Abu Dhabi National Oil CompanyAbu Dhabi National Oil Company (AdnocAdnoc) and Occidental Petroleum CorporationOccidental Petroleum Corporation (OPC) plans to develop the Shah sour gas field in Abu Dhabi as part of its plan to meet the growing domestic needs.
The project originally included the development of both the Shah and the Bab fields; however, due to mixed reactions from contractors, the project was split into two separate projects.
The Shah portion of the project will be executed in 10 main packages whereby the main elements include development of wells and gathering systems, construction of a gas sweetening and treatment facility in Shah with a processing capacity of 1 billion cu.ft./d of sour gas containing 23 % of hydrogen sulphide and 10% of carbon and construction of a central sulphur hub in Habshan.
Sulphur produced and gathered from the Shah Field along with the produced products from the existing facilities in Habshan will be transported to Ruwais where the sulphur granulation storage, the export terminal and the marine channel will be located.
ShellShell and ExxonMobilExxonMobil carried out the technical studies.
Occidental and BPBP carried out separate optimization studies of sour gas reserves at the field.
Fluor CorporationFluor Corporation is the PMC and FEED study consultant. |
| Expected Events |
| Schedule |
Contract Phase/Phase |
Description |
| 2014 |
Completion | Project expected to be completed
|
|
| Latest Events |
In April 2012, construction works were ongoing for all packages.
In 2014, the project is expected to be completed. |
| Previous Events |
In June 2011, the EPC contract for the Non Process Buildings (Package 10) was awarded to ETA ASCON Star GroupETA ASCON Star Group. A USD 2.8 million sub-contract to design, engineer and supply a demineralization plant and water polisher plant was awarded to MetitoMetito.
On 25 May 2011, the EPC contract for the Sulphur Treatment Facilities at Shah (Package 7B) was awarded to Consolidated Contractors CompanyConsolidated Contractors Company.
On 19 January 2011, the BOO developer contract was officially signed between ADNOCADNOC and Occidental Petroleum CorporationOccidental Petroleum Corporation.
In Decmber 2010, the EPC contract for Sulphur Treatment Facilities at Habshan (Package 7A) was awarded to Dodsal Engineering and ConstructionDodsal Engineering and Construction and Sulphur Handling and Export Terminal (Package 8) was awarded to the JV of Techint and Al Jaber GroupAl Jaber Group.
On 1 November 2010, ADNOCADNOC shortlisted ExxonMobilExxonMobil, Royal Dutch ShellShell and Occidental PetroleumOccidental Petroleum for the developer BOO contract.
On 12 July 2010, the EPC contracts for packages 1 and 4 were officially signed.
On 21 June 2010, the PMC contract overseeing the overall project was awarded to Fluor CorporationFluor Corporation.
In May 2010, ADNOCADNOC decided to pursue the railway option rather than a pipeline. Liquid Sulphur Pipeline (Package 6) was cancelled and the company had to tender three separate deals for a sulphur handling and export terminal at Ruwais and two sulphur forming, granulation and handling facilities at Habshan and at Shah.
On 2 May 2010, the EPC contracts for Process Plant (Package 2), Sulphur Recovery Units (Package 3) and Product Pipelines (Package 5) were awarded to SaipemSaipem and the EPC contract for Gas Gathering System (Package 1) was awarded to the consortium of Tecnicas ReunidasTecnicas Reunidas and Punj LloydPunj Lloyd.
On 30 April 2010, the EPC contract for Offsites & Utilities (Package 4) was awarded to Samsung Construction and Engineering.
In April 2010, ConocoPhillipsConocoPhillips officially announced its withdrawal from the BOO contract.
In March 2010, the EPC contract for Early Works (Package 9) was awarded to Al Jaber GroupAl Jaber Group.
On 12 January 2010, commercial bids for the PMC contract were submitted.
In the end of August 2009, contractors submitted their EOI for the PMC contract.
On 9 July 2009, AdnocAdnoc and OPC signed the Joint Venture and Field Entry agreement to jointly share the cost of the project.
In March 2009, the FEED study was completed.
In July 2008, ADNOCADNOC and ConocoPhillipsConocoPhillips signed the BOO development contract.
In January 2008, the BOO contract was awarded to ConocoPhillipsConocoPhillips (delayed from the Q4 2007).
In August 2007, ADNOCADNOC received bids from the four short-listed companies, ConocoPhillipsConocoPhillips, ExxonMobilExxonMobil, Occidental and ShellShell to develop sour gas from the Shah field.
In May 2007, ADNOCADNOC decided to split the project and develop each field alone. The project failed to attract enough interest from international oil companies to develop the venture as a whole.
In April 2007, ADNOCADNOC received bids for the Shah and Bab fields combined development contracts. Several companies including BPBP and the ShellShell group declined to bid for Bab field development due to technical and environmental risks associated with the treatment of the sour gases in Bab, which is located near a densely populated area.
In December 2006, the ITB for the BOO contract was issued.
In July 2006, the project was launched. |
| Scope of Work |
The project will be executed in 10 Packages:
Package 1:
Gas Gathering System:
- Development of wells
- Pipelines
- Gathering lines
Package 2:
Process Plant:
- 4 Acid Gas Removal Units (AGRU) with a capacity of 25% each
- 2 NGL recovery trains with a capacity of 50% each
- 2 Condensate hydrotreater trains with a capacity of 50% each
Package 3:
Sulphur Recovery:
- 4 Sulphur recovery units with tail gas treatment units with a capacity of 25% each
- Four 88MW power generators
- A high-pressure steam generator
Package 4:
Offsites and Utilities:
- On-site buildings: main control room, fire station, lamps
Package 5:
Pipelines:
- 36 inch diameter 127 km gas pipelines
- 16 inch diameter 66 Km condensate pipelines
- 16 inch diameter 66 Km NGL pipelines
Package 6 (cancelled):
Liquid Sulphur pipeline package:
- 275 km liquid sulphur pipeline
Package 7A:
Sulphur Treatment Facilities
- 10,000 t/d Sulphur forming, granulation and handling facilities at Habshan
Package 7B:
Sulphur Treatment Facilities
- 10,000 t/d Sulphur forming, granulation and handling facilities at Shah Gas Field
Package 8:
Sulphur handling and export terminal:
- Installation and erection of a new jetty
- Channel dredging and associated installation for the jetty
Package 9:
Early works:
- Plant Roads
- Security fences
- Rough grading
- Access roads
- Support facilities
Package 10:
Non Process Buildings:
- Admin Building
- Workshops
- Vehicle Maintenance
- Warehouses |
| Financing Source |
In October 2008, ADNOCADNOC prepared the ground for a substantial corporate loan for as much as USD 5 billion, which could be used to help finance these plans as well as its existing commitments elsewhere. |
| Contract Packages |
| Type |
Project Name |
Contract Value |
 |
ADNOC - Sour Gas Fields Development - Shah Field - Liquid Sulphur Pipeline (Package 6) |
- |
|
ADNOC/Oxy - Sour Gas Fields Development - Shah Field - Offsites & Utilities (Package 4) |
- |
|
ADNOC/Oxy - Gasco - Sour Gas Fields Development - Shah Field - Sulphur Handling and Export Terminal (Package 8) |
USD 614,000,000 |
|
ADNOC/Oxy - Gasco - Sour Gas Fields Development - Shah Field - Sulphur Treatment Facilities at Habshan (Package 7A) |
USD 500,000,000 |
|
ADNOC/Oxy - Sour Gas Fields Development - Shah Field - Early Works (Package 9) |
USD 300,000,000 |
|
ADNOC/Oxy - Sour Gas Fields Development - Shah Field - Gas Gathering System (Package 1) |
USD 470,000,000 |
|
ADNOC/Oxy - Sour Gas Fields Development - Shah Field - Non Process Buildings (Package 10) |
USD 600,000,000 |
|
ADNOC/Oxy - Sour Gas Fields Development - Shah Field - Process Plant (Package 2) |
- |
|
ADNOC/Oxy - Sour Gas Fields Development - Shah Field - Product Pipelines (Package 5) |
USD 196,000,000 |
|
ADNOC/Oxy - Sour Gas Fields Development - Shah Field - Sulphur Recovery Units (Package 3) |
USD 1,450,000,000 |
|
ADNOC/Oxy - Sour Gas Fields Development - Shah Field - Sulphur Treatment Facilities at Shah (Package 7B) |
USD 550,000,000 |
|
| Related Projects |
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| Project News |
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Contract Project
|
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