ADNOC Gas Awards $550 Million in Contracts to Expand UAE Gas Pipeline Network
(P&GJ) — ADNOC Gas has announced the award of $550 million in engineering, procurement & construction (EPC) contracts for the ESTIDAMA project, a key expansion of the UAE’s gas pipeline network. This initiative, part of a broader $2.4 billion project, aims to increase natural gas delivery capacity to the Northern Emirates.
Under these contracts, NMDC Energy P.J.S.C and Galfar Engineering & Contracting W.L.L Emirates will undertake crucial construction activities. Approximately 70% of the contract value will circulate back into the UAE economy through ADNOC’s In-Country Value (ICV) program, supporting local economic growth.
The ESTIDAMA Project extends ADNOC Gas’ pipeline network from 3,200 to over 3,500 kilometers, enhancing capacity to meet rising gas demand. Ownership of ESTIDAMA is transferring from ADNOC Gas to ADNOC, streamlining capital deployment for ADNOC Gas while ensuring operational continuity under its management.
Dr. Ahmed Alebri, CEO of ADNOC Gas, emphasized, “This award underscores our commitment to expanding UAE’s gas infrastructure, enhancing accessibility to sustainable natural gas across the nation. With ADNOC assuming ownership, ADNOC Gas remains focused on operational excellence and maximizing shareholder value.”
ADNOC Gas will continue to operate ESTIDAMA, paying ADNOC a variable transmission fee based on pipeline throughput. This arrangement supports ADNOC Gas’ strategic growth in the domestic market while reinforcing the UAE’s energy self-sufficiency goals.
Related News
Related News
- 1,000-Mile Pipeline Exit Plan by Hope Gas Alarms West Virginia Producers
- Valero Plans to Shut California Refinery, Takes $1.1 Billion Hit
- Three Killed, Two Injured in Accident at LNG Construction Site in Texas
- Greenpeace Ordered to Pay $667 Million to Energy Transfer Over Dakota Access Pipeline Protests
- Boardwalk’s Texas Gas Launches Open Season for 2 Bcf/d Marcellus-to-Louisiana Pipeline Expansion
- New Alternatives for Noise Reduction in Gas Pipelines
- Construction Begins on Ghana's $12 Billion Petroleum Hub, But Not Without Doubts
- Missouri Loses Control Over 1.5 Million-Mile Gas Pipeline Network as Feds Step In
- Greenpeace Ordered to Pay $667 Million to Energy Transfer Over Dakota Access Pipeline Protests
- DOE Considers Cutting Over $1.2 Billion in Carbon Capture Project Funding
Comments