ADNOC Gas Awards $2.1 Billion in Contracts for Ruwais LNG Infrastructure
ADNOC Gas, a subsidiary of Abu Dhabi National Oil Company (ADNOC), has awarded three contracts related to the construction of infrastructure at its future liquefied natural gas (LNG) complex in Al Ruwais Industrial City, Abu Dhabi.
The contracts with a combined value of $2.1 billion encompass works on an LNG pre-conditioning plant (LPP), compression facilities, and transmission pipelines–described as key infrastructure by the UAE player–to supply feedstock to its 9.6 million tonnes per annum (mtpa) Ruwais LNG project under construction.
Infrastructure Development
The transmission pipelines will connect the Ruwais LNG facility with the Habshan Complex, where the LPP and compression facilities will be located. Habshan, with its vast capacity, is one of the world’s largest integrated gas processing complexes.
“These contract awards reaffirm ADNOC Gas’ commitment to delivering sustainable growth and maximizing shareholder value. We are investing in world-class infrastructure and innovative technologies as we expand our capacity in LNG liquefaction and strengthen our position as a global player,” noted Fatema Al Nuaimi, Chief Executive Officer of ADNOC Gas.
Contract Awards
The largest contract, valued at $1.24 billion for the LPP, was awarded to a consortium comprising Engineering for the Petroleum and Process Industries (ENPPI) and Petrojet. China Petroleum Pipeline Engineering Company won a $514 million contract for transmission pipelines, while Petrofac Emirates secured a $335 million contract for compression facilities.
Elie Lahoud, Chief Operating Officer of Petrofac’s Engineering & Construction division, remarked: “The expansion of our role at the Habshan Complex is testament to the delivery expertise deployed by our team on this and various other projects throughout our long history supporting ADNOC in the UAE.”
Future Growth Strategy
The contract awards are part of ADNOC Gas’ $15 billion capital expenditure plan through 2029. The company aims to increase its gas processing capabilities to meet the growing demand, with a focus on projects like Ruwais LNG and Bab Gas Cap.
Once operational, the Ruwais LNG plant is expected to more than double ADNOC Gas’ LNG production capacity to more than 15 mtpa. The export facility will feature two liquefaction trains, each with a processing capacity of 4.8 mtpa, powered by clean grid electricity.
Expansion in LNG Market
In December 2024, ADNOC Gas signed a sales and purchase agreement with Germany’s EnBW for supplying 0.6 million mtpa of LNG over 15 years, marking the company’s second deal with a German firm for Ruwais LNG.
With these strategic investments and partnerships, ADNOC Gas is poised to strengthen its position in the global LNG market and contribute to the energy landscape of the UAE and beyond.