Abu Dhabi awards gas turbine supply deal to GE

DUBAI // Abu Dhabi Gas Industries (Gasco) has awarded a US$200 million (Dh 735m) contract for the supply of eight gas turbines and services to General Electric for the Habshan 5 gas project, according to a statement today. The gas turbines will provide more than 250 megawatts (MW) of power for the Habshan plant, which will have a total of four gas processing trains, the joint statement said. The total processing capacity at the gas facility will be 2 million cubic feet per day of gas. "Habshan 5 is an important part of Gasco's plan to increase overall gas processing capacity to meet growing natural gas demand," Abdul Aziz Al Ameri, senior vice president of Gasco's major projects group said. "The supply of reliable power for the plant is obviously critical to the long term success of the project." The gas turbines are scheduled for shipment during spring of 2010, with commercial operation of the Habshan facility expected by the end of 2012. Gasco is 68 per cent owned by ADNOC, with the rest held by Royal Dutch Shell Gasco said in 2008 it was investing $25bn in gas processing plants and pipelines to meet surging gas demand. The UAE holds the world's fifth-largest gas reserves, but has failed to keep up with rising domestic demand. The Gulf Arab state remains dependent on gas imports from Qatar to fire power stations and meet the needs of industry. * Reuters