Text size:

  • Small
  • Normal
  • Large

Amec wins Upper Zakum expansion project

The British firm announces it will work with an Adnoc unit to expand production capacity at the Upper Zakum oilfield.

Amec, a British energy engineering firm, announced yesterday that it has been awarded a contract by a subsidiary of the Abu Dhabi National Oil Company (Adnoc) to help expand production capacity at the Upper Zakum reservoir, a giant offshore oilfield. The announcement is a major advance in a plan to increase production capacity at Upper Zakum from more than 500,000 barrels per day (bpd) to 750,000 bpd, as part of Adnoc's larger scheme to increase Abu Dhabi's crude oil production capacity from 2.7 million bpd to 3.5 million bpd.

Under the terms of the US$75 million (Dh275.43m) contract, Amec will provide engineering and project management services to replace a pipeline, build gas treatment facilities and develop the east and west areas of the field, the company said. Adnoc officials declined to comment on Amec's announcement. Amec is a large engineering firm based in Britain that has been involved in a wide array of energy projects ranging from nuclear reactors to hydroelectric stations.

The company maintains offices in Abu Dhabi, Saudi Arabia and Qatar, and a subsidiary branch in Kuwait. It has also provided asset engineering support services for BP in Sharjah for "a couple of years", said an Amec spokesman. The contract awarded yesterday marked the company's first foray into Abu Dhabi in 15 years, the spokesman said. The move may provide a stepping stone for Amec to win more contracts in the emirate and the GCC.

"This contract on one of the world's major offshore fields is another significant step in our strategic growth plans in the Middle East and North Africa region," said Tony Cruddas, the president of growth regions within Amec's natural resources division. "We hope [the contract] will lead to further work in the region." The Zakum Development Company (Zadco), an Adnoc subsidiary that produces oil at the Upper Zakum reservoir, plans to increase production capacity from 520,000 to 600,000 bpd by 2011, with a second increase to 750,000 bpd coming by 2013.

In 2005, the Government signed a deal with ExxonMobil that transferred 28 per cent of Zadco's ownership to the international oil giant. The deal was widely seen as a means for Adnoc to gain access to Exxon's technology and expertise to help raise production at the technically challenging reservoir. The reservoir is located 84km northwest of the capital and sits in a layer directly atop the Lower Zakum field, the charge of the Abu Dhabi Marine Operating Company, another Adnoc subsidiary.

cstanton@thenational.ae

Back to the top

More articles


Editor's Picks

 The Greens, villas: Q1 no change. 3BR - Dh210-250,000. 4BR - Dh210-260,000. 5BR - Dh220-300,000. Q1 2013-Q1 2014 5% rise. Pawan Singh / The National

In pictures: Where Dubai rents have risen and fallen, Q1 2014

Find out how rental prices in the prime locations in Dubai have altered during the first three months of the year and the current rates you will pay according to data provided by Asteco.

 Above, the private pool of Ocean Heights' five-bedroom penthouse flat. Courtesy Christie’s International Real Estate

In pictures: Penthouse flat is height of Dubai luxury living

A five-bedroom penthouse in Ocean Heights in Dubai Marina is on sale for Dh25 million and comes with a private pool and an unparalleled view of Dubai.

 The cooling towers of the Temelin nuclear power plant near the Tyn nad Vltavou in Czech Republic. The country wants to continue expanding nuclear energy capacity despite cancelling a tender to build two new units. David W Cerny / Reuters

In pictures: Best business images for the week to April 17, 2014

Here are some of the best business images for the week to April 17, 2014.

 Three generations of the Hakimi family tend to their stall Crawford Market in Mumbai. Subhash Sharma for The National

In pictures: Shopper’s delight at Crawford Market in Mumbai

Crawford Market is an old British-style covered market dealing in just about every kind of fresh food and domestic animal imaginable. Later on renamed Mahatma Jotirao Phule, the market remains popular among locals and visitors by its old name, taken from Arthur Crawford who was the first municipal commissioner of the city.

 The Wind, Energy, Technology and Environment Exhibition takes place from April 14 to April 16. Above, the Dewa showroom during last year’s Wetex. Jaime Puebla / The National

April corporate and economic calendar for the UAE and overseas

From Cityscape to Wetex to stock-market holidays to nations reporting first-quarter GDP figures, here is our helpful calendar of April's business events in the UAE and internationally.

 Get the latest information on credit cards, bank accounts and loan products in the UAE. Mark Lennihan / AP Photo

Rates report: Latest on UAE loans, accounts and credit cards

Souqamal.com brings you the latest interest rates on banking products in the UAE.

Events

To add your event to The National listings, click here

Get the most from The National