ADNOC Gas has made a final investment decision and awarded contracts totaling $5 billion for the initial stage of its Rich Gas Development project, marking the company’s largest capital investment to date.
The agreements pertain to expanding processing units to enhance throughput and efficiency at four major ADNOC Gas locations: Asab, Buhasa, and Habshan onshore, as well as the Das Island liquefaction facility offshore.
For the first phase, Engineering, Procurement, and Construction Management contracts have been distributed in three parts. Wood, based in the UK, received a $2.8 billion contract for the Habshan site.
The remaining contracts, valued at $1.2 billion for the Das Island facility and $1.1 billion for Asab and Buhasa, were awarded to two consortia, Petrofac and Kent.
The RGD Project’s Role in ADNOC Gas Strategy
The Rich Gas Development project is a cornerstone of ADNOC Gas’s strategy to tap into new gas reservoirs, enhance liquid gas exports, achieve gas self-sufficiency for the UAE, and provide feedstock for the growing domestic petrochemical industry.
The company intends to make additional investment decisions for two more phases of the RGD project at Habshan and Ruwais to further expand production capacity.
Fatema Al Nuaimi, CEO of ADNOC Gas, stated, “This strategic investment is poised to generate substantial new value for our shareholders and support continued sustainable growth for the company, our workforce, and the UAE. The decision and contract awards represent an important milestone in ADNOC Gas’s plan to achieve over 40 percent EBITDA growth between 2023 and 2029.”
Phase 1 will concentrate on eliminating bottlenecks and optimizing current assets while unlocking new gas streams.
The initiative also underscores ADNOC Gas’s long-term growth strategy and commitment to In-Country Value, with plans to create hundreds of new technical roles by 2029.