Abu Dhabi Gas Industries (GASCO) has awarded Spain-based general contractor Tecnicas Reunidas a US$700m contract for a natural gas expansion project in Abu Dhabi
The contract is for the Integrated Gas Development Expansion Project Package 3, which aims to yield 400mn cu ft of gas from the Abu Dhabi National Oil Company's (ADNOC) offshore oilfields by 2017.
UAE-based GASCO is a natural gas producing firm and is a subsidiary of ADNOC, which owns 68 per cent stake in the company.
According to GASCO, the project consists of several gas processing units, gas pipelines, condensate pipelines and all required interconnections.
As part of the contract, Tecnicas Reunidas will conduct the engineering, procurement, construction, installation and commissioning of the Shah Gas Gathering Centre, it said.
An official from Tecnicas Reunidas stated, “This new engineering, procurement and construction contract will considerably strengthen the company’s presence in Abu Dhabi and will demonstrate our commitment in supporting energy developments in the UAE.”
The Shah Gas Gathering Centre, which began operations at the end of 2014, is a US$10bn project by ADNOC and partner Occidental Petroleum to bring sour gas to market.
Sour gas is natural gas, which contains a significant amount of hydrogen sulfide.
