Arabtec's subsidiary Target wins Dh521m Adnoc oil field contract
The 30-month work will begin in May next year
Target Engineering, a unit of the UAE’s biggest listed contractor Arabtec Holding, won a Dh521 million contract for the expansion of Abu Dhabi’s largest onshore oil field.
The 30-month contract work that will begin in May next year was awarded by Spanish company Tecnicas Reunidas, Arabtec said on Tuesday in statement to the Dubai Financial Market, where its shares are traded. The scope of work includes the construction and expansion of the existing Bu Hasa oil pad hubs and the phase two of gas lift among others tasks, it said.
“This is another oil and gas project [for the company] which demonstrates Target’s strength in the industrial sector as we continue to build on our core competencies in our core markets,” said Hamish Tyrwhitt, Arabtec’s group chief executive.
State-owned Abu Dhabi National Oil Company last week awarded Tecnicas Reunidasa a Dh5.1 billion contract to expand the Bu Hasa onshore field as part of plans to boost output to 5 million barrels per day by 2030, from about 3 million bpd currently.
The expansion will raise Adnoc’s crude output capacity from the field by 18 per cent to 650,000 bpd by 2020, the company said in a statement at the time.
As per the terms of the engineering, procurement and construction contract, the Spanish company will execute the project within 39 months for operator Adnoc Onshore, a subsidiary of the state producer.
Tecnicas Reunidas’ scope of work on the project includes the revamp and expansion of facilities, new pipeline networks, production hubs and the conversion of three trains at a central de-gassing station. The project would also include streamlining of water handling, implementation of a second gas lift recovery phase and improvement of overall production efficiency besides reduction of inactive wells, Adnoc said at the time.
Updated: November 20, 2018 11:23 AM