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ADNOC Gas Awards $1.34 Billion for New Natural Gas Pipeline

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Picture of Anamika Talwaria

Anamika Talwaria

Editor & Head of Content for Tank Storage Magazine & StocExpo and Chair of Women in Tanks.

ADNOC Gas has announced the award of $1.34 billion (€1.25 billion) in contracts to Petrofac Emirates and the consortium between National Petroleum Construction, PJSC and C.A.T International for the expansion of its natural gas pipeline network.

Pipeline
Image: Danil Sorokin/Unsplash

Under the sales gas pipeline network enhancement (ESTIDAMA) program, the new pipeline will extend ADNOC Gas’ existing network from approximately 3,200 km to over 3,500 km. This would enable the transportation of higher volumes of natural gas to customers in the northern emirates of the United Arab Emirates. This strategic pipeline extension will drive further growth for ADNOC Gas as it continues to supply sustainable gas supplies in the UAE in support of the company’s strategy to increase its market share and enhance its customer base.

Ahmed Mohamed Alebri, Chief Executive Officer of ADNOC Gas, says: ‘Our strategic network expansion will bring the advantages of lower-cost, sustainable and cleaner gas to more locations across the UAE by enhancing industrial access to natural gas, a cost-competitive and lower-carbon intensive fuel. The expanded pipeline will drive further growth for ADNOC Gas and our shareholders as we deliver on our mandate to achieve gas self-sufficiency for the UAE.’

As part of ADNOC’s In-Country Value (ICV) program, which aims to enhance the UAE’s local value chain by encouraging local manufacturing and supporting local industries, over 70% of the contracts’ value is expected to flow back into the UAE economy.

ADNOC’s integrated gas masterplan connects all parts of the UAE’s gas value chain, ensuring a sustainable and economical supply of natural gas to meet local and international demand. The plan includes innovative approaches and technologies to increase gas recovery from existing fields and develop untapped resources.

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