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When fully operational, the plant will more than double ADNOC's LNG production capacity. (Image source: ADNOC)

ADNOC Gas plc has awarded three contracts worth US$2.1bn for an LNG pre-conditioning plant (LPP), compression facilities and transmission pipelines to supply feedstock to the Ruwais LNG Project

The LPP and compression facilities will be located within ADNOC Gas’ Habshan 5 plant, part of one of the world’s largest integrated gas processing complexes. The five plants of the Habshan Complex have a combined capacity to process 6.1bn standard cubic feet of gas per day. The newly awarded transmission pipelines will connect the Habshan Complex with the Ruwais LNG facility.

A contract valued at US$1.24bn for the LPP, was awarded to a consortium consisting of Engineering for the Petroleum and Process Industries (ENPPI) and Petrojet. A US$514mn contract for transmission pipelines was awarded to the China Petroleum Pipeline Engineering Company, while Petrofac Emirates LLC scooped a US$335mn contract to develop the new compression facilities. The third EPC contract awarded to Petrofac at the Habshan Complex, this includes the EPC of two gas compressor trains, associated utilities and power systems.

Fatema Al Nuaimi, Chief Executive Officer of ADNOC Gas, said, “These contract awards reaffirm ADNOC Gas’ commitment to delivering sustainable growth and maximising 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.”

ADNOC Gas is developing the Ruwais LNG project on behalf of ADNOC. When fully operational, the Ruwais LNG plant will more than double ADNOC Gas’ current LNG production capacity to more than 15 million tonnes per annum (mtpa). The export facility will feature two liquefaction trains, each with a processing capacity of 4.8 mtpa, powered by clean grid electricity.

Upon completion, Ruwais LNG will be one of the lowest-carbon intensity LNG plants in the world, utilising artificial intelligence and other advanced digital technologies to enhance safety, minimise emissions and drive efficiency. The project is set to advance ADNOC’s LNG leadership ambitions, with more than 7MTPA of its production capacity already committed to international customers under long-term agreements, as well as furthering its energy transition objectives.

Average global leading-edge dayrates. (Image source: Westwood RigLogix)

A slowdown in global rig demand, a pickup in rig attrition, and falling dayrates are predicted for 2025, according to new research from Westwood Energy

2024 was another strong year for the offshore drilling rig market with high utilisation and dayrates, but 2025 is likely to be a year of declining demand and dayrates – as part of a market correction in a continued upcycle rather than the beginning of another downturn, the energy consultancy says. The three main rig types – jackups, semisubs and drillships – are already experiencing weakening demand and declining dayrates. Inflationary pressures across the sector are the driving force of the market correction expected in 2025. Rising projects costs are one of the main contributing factors, along with delays caused by supply chain challenges, resulting in long lead-times for parts and equipment. Offshore rig demand is expected to grow in areas such as Latin America, Africa and India, while demand remains depressed in the North Sea and the US Gulf of Mexico shallow-water shelf. South America will continue to lead global floating rig demand, and the Middle East will remain the dominant driver of jackup demand, according to Westwood.

Decline in offshore rig demand

The drop in offshore rig demand will lead to an increase in rig attrition, particularly in the semisub segment. Rig contractors will focus cuts on units least likely to be in demand. Consolidation among rig contractors should also provide the opportunity to streamline fleets and retire any units unlikely to be used.

As bidding becomes more competitive, dayrates are increasingly under pressure. More incentives could be offered, such as lower mobilisation fees and discounted minor upgrades. Inflation, leading to higher labour, service and parts costs, means rig contractors will not be able to discount their dayrates as much as before. Meanwhile, dayrates for the highest-capability units will continue to command the highest rates, as these units also face the least availability in the near-to-medium term.

“The aforementioned attrition and Westwood’s expectation for few deliveries next year will tighten the available rig supply even further,” said Cinnamon Edralin, Americas Research Director at Westwood Energy. “Once operators begin to jump on the lower dayrate offers, thereby reducing near-term availability, then dayrates will bottom out and start to rise once again. With drilling demand generally being pushed into 2026-27 instead of cancelled, this sets the stage for 2025 to be a year of declining demand and dayrates as part of a market correction in a continued upcycle rather than the beginning of another downturn.”

The contract is for pipeline installation, shore approach works and dredging for the Tung-Hsiao Power Plant 2nd Stage Renewal Project. (Image source: NMDC Energy)

NMDC Energy is expanding its presence in the Asian market with the award of a US$1.136bn EPC contract by Taiwan Power Company (Taipower) for the Tung-Hsiao Power Plant 2nd Stage Renewable Project

Valued at US$1.136bn, the project involves the design, construction and installation of 111 km of linear subsea pipeline at depths ranging from 10 metres to 55 metres, stretching between Taichung and Tung-Hsiao on Taiwan's west coast. The contract involves shore approach works and dredging operations volume of around 6mn cubic metres. The work will be led by NMDC Energy, utilising the capabilities of NMDC Dredging & Marine.

As part of its commitment to expanding into high-growth regions and becoming a global leader in ten energy and marine engineering sectors, NMDC Energy is keen to strengthen its presence in Taiwan, which it sees as a strategic market with significant potential, and where it is already progressing renewable energy initiatives. By leveraging its multidisciplinary expertise and forging partnerships in the region, NMDC Energy is looking to explore new opportunities for sustainable growth.

Landmark contract

Eng. Yasser Zaghloul, CEO of NMDC Group said, “This landmark contract underscores NMDC Energy’s position as a global leader in engineering and marine solutions, while driving forward Taiwan’s energy transition ambitions. Our work in Taiwan is not merely about infrastructure; it represents a commitment to creating sustainable pathways for energy resilience in a region of strategic importance. This award reaffirms our dedication to delivering world-class expertise across diverse geographies and demonstrates how NMDC Group’s integrated capabilities set the benchmark for transformative, high-impact projects worldwide.”

Eng. Ahmed Salem Al Dhaheri, CEO of NMDC Energy, added, “Over the past three years, we have boldly expanded our operations into renewable energy in Taiwan, forging transformative partnerships to unlock opportunities for various clean energy integration. Our collaboration with the Taiwan Power Company will drive and strengthen our presence in Taiwan and South East Asia.”

The award highlights NMDC’s expertise in delivering complex energy EPC and marine engineering projects while reinforcing its strategy to expand its operations geographically into high-potential markets. It is expected to significantly boost revenue while strenghthening NMDC’s leadership in sustainable energy solutions.

NMDC is currently experiencing strong growth and global expansion after rebranding and restructuring its operations. In September 2024, NMDC Energy was listed on the Abu Dhabi Stock Exchange, following the launch of its IPO which was 31.3 times oversubscribed, generating AED 3.22bn (US$880mn) for the Group. For the nine-month period ending 30 September 2024, the Group reported an impressive 68% growth in revenues and a 45% surge in net profits compared to the same period last year.

The strong performance for this period was underpinned by a healthy project pipeline, strategic operational expansion across the Group’s divisions, as well as NMDC Energy’s successful Initial Public Offering (IPO), according to the company.

Endress+Hauser is now exclusively marketing SICK’s gas analysis and flow measurement technology worldwide. (Image source: Endress+Hauser)

German sensor manufacturer SICK and automation and measurement specialist Endress+Hauser are bringing SICK’s advanced gas analysis and flow measurement technology into Endress+Hauser’s  instrumentation portfolio as part of their strategic partnership in process automation

As of 1 January 2025, Endress+Hauser has been exclusively marketing SICK’s gas analysers and flow meters worldwide. These are used mainly in waste incineration and power plants, steelworks and cement works, in the oil & gas industry, in chemical and petrochemical plants, and in maritime applications. These technologies are crucial for tasks such as emissions monitoring in flue gas cleaning and the measurement of natural gas and hydrogen flows.

The production and further development of the gas analysers and flowmeters were brought together under the umbrella of Endress+Hauser SICK GmbH+Co. KG. SICK and Endress+Hauser will each hold 50% of the joint venture. The company employs around 730 people at several German sites and will collaborate closely with Endress+Hauser’s product centres to drive product innovation and meet evolving market demands.

Co-operation agreement

The two companies siged a cooperation agreement in summer 2024, through which it aims to offer customers in the process industry enhanced support in increasing plant efficiency, protecting the environment and reducing carbon footprint. It will allow customers to access a broader range of products from a single source and benefit from enhanced expertise in gas measurement technology. With its global sales network, Endress+Hauser will access new customers and different application areas.

“This partnership is a perfect match,” said Dr Peter Selders, CEO of the Endress+Hauser Group. “It creates new opportunities for growth and development, particularly in the sustainable transformation of the process industry. By joining forces, we offer added value to our customers. Our combined efforts will make us faster and ultimately more successful than if we acted alone. In this case, one and one equals more than two.”

“We are pleased that the strategic partnership for process automation is now starting. Together, we can better support customers worldwide and guide them into a sustainable future with leading technological solutions. We are convinced that the transformation of the process industry offers enormous opportunities for growth and development, which we will optimally leverage as strong partners,” said Dr Mats Gökstorp, chairman of the executive board of SICK AG.

 

 

Al Masood has been designated the sole agent for Deep International's products and Design-Build-Operate-Maintain (DBOM) projects in the UAE. (Al Masood Group)

Al Masaood Group’s Projects, Engineering and Services Division (PESD) has entered into an agency agreement with Deep International whereby Al Masaood has been designated the sole agent for the solutions provider’s products and Design-Build-Operate-Maintain (DBOM) projects in the UAE

Hani El Tannir, CEO of Al Masaood Group Industrial, said, “[The Group] is committed to providing the best solutions in the energy sector. By partnering with Deep International and leveraging their extensive expertise, we hope to enhance operational efficiency and support the sustainable energy transition in the region.”

Bringing more than 25 years of expertise in delivering fast-track, modular solutions across the Middle East, Africa and Asia region, Deep International’s innovative approach is supported by more than 130,000 HP of gas compressors which ensure reliable, performance-driven solutions tailored to the dynamic market demands.

Chris McMillan, vice president of Deep International, commented, “Partnering with Al Masaood Group marks a pivotal moment for Deep International. Their understanding of regional markets and commitment to excellence aligns perfectly with our mission to deliver safe and reliable gas processing facilities that meet the evolving need of our clients.”

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