ADNOC has announced the final investment decision and award of contracts for the Hail and Ghasha offshore development project.
The project:
Hail and Ghasha are part of Abu Dhabi’s Ghasha Concession. The concession is set to produce more than 1.5 billion standard cubic feet per day (BSCFD) of gas before the end of the decade. It will contribute to UAE’s gas self-sufficiency and ADNOC’s gas growth and export expansion plans.
Hail and Ghasha’s carbon capture will aid ADNOC’s carbon management strategy, establishing a unique platform to accelerate UAE’s decarbonization goals by connecting emissions sources and sequestration sites. The company said in a press release that the final investment decision follows a recent announcement by ADNOC to double its carbon capture capacity target to 10 MPTA of CO2 by 2030.
The first EPC contract for the offshore facilities includes facilities on artificial islands and subsea pipelines. It has been awarded to a joint venture between National Petroleum Construction Company and Saipem S.p.A.
The second EPC contract will deliver the onshore scope, including CO2 and sulphur recovery and handling. It has been awarded to Tecnimont S.p.A.
The two EPC contracts were signed at ADIPEC. Over 60 percent of the investment value of the entire project will flow back into the UAE’s economy under ADNOC’s In-Country Value (ICV) program. The company is committed to ensuring that the contracts it awards contribute more economic value to the country.
Carbon capture:
The project aims to operate with net zero carbon dioxide (CO2) emissions. This reinforces ADNOC’s legacy of responsible energy production, net zero by 2045 ambition, and accelerated decarbonization plan.
The Hail and Ghasha development design combines innovative decarbonization technologies into one integrated solution. The project will capture 1.5 MTPA of CO2 taking ADNOC’s committed investment for carbon capture capacity to almost 4 MPTA. The CO2 will be captured, transported onshore, and safely stored underground, while low-carbon hydrogen is produced that can replace fuel gas and further reduce emissions. The project will also leverage clean power from nuclear and renewable sources from the grid, the company said in a press release.
Abdulmunim Al Kindy, Executive Director, ADNOC Upstream, said, “The project will drive in-country value, provide highly skilled career opportunities for UAE Nationals, and stimulate socio-economic growth for the nation. Natural gas is an important transition fuel and ADNOC will continue to responsibly unlock its gas resources to enable gas self-sufficiency for the UAE. This initiative grow our export capacity, and support global energy security.”