ADNOC awards US$245mn contracts to upgrade main oil lines and Jebel Dhanna Terminal

ADNOC MAIN OIL LINESADNOC Onshore, a subsidiary of the Abu Dhabi National Oil Company (ADNOC), has awarded two engineering, procurement and construction (EPC) contracts to upgrade two main oil lines (MOLs) and crude receiving facilities at the Jebel Dhanna Terminal in Abu Dhabi

The contract is expected to be completed in 30 months and see more than 45% of the award value flow back into the UAE’s economy under ADNOC’s ICV programme.

The EPC contracts have a combined value of around US$245mn and were awarded to China Petroleum Pipeline Engineering Company Limited – Abu Dhabi and Abu Dhabi-based Target Engineering Construction.

More than 50% of the total award value will flow back into the UAE’s economy under ADNOC’s In-Country Value (ICV) program, underscoring ADNOC’s drive to prioritise ICV as it invests responsibly and pursues smart growth to maximise value from its assets and deliver sustainable returns to the United Arab Emirates (UAE).

Yaser Saeed Almazrouei, executive director of ADNOC’s upstream directorate, said, “The EPC contracts awarded by ADNOC Onshore will increase the capacity of the two main oil lines and upgrade the Jebel Dhanna Terminal to enable it to receive Upper Zakum and Non-System crude for delivery to the Ruwais Refinery West project.

The EPC contract awarded to China Petroleum Pipeline Engineering Company Limited – Abu Dhabi is valued at approximately US$135mn and the scope is to replace the two MOLs which transport ADNOC’s premium grade Murban crude oil from its oilfields at Bab (BAB), Bu Hasa (BUH), North East Bab (NEB), and South East (SE) to Jebel Dhanna terminal, increasing the capacity of the pipelines by more than 30%. 

The EPC contract awarded to Target Engineering Construction Co.L.L.C. is valued at approximately US$110mn and will see the contractor upgrade the crude receiving facilities at the Jebel Dhanna Terminal, enabling ADNOC to utilise parts of the terminal’s existing facilities to import Upper Zakum (UZ) crude oil from offshore and Non-System (NS) crude, for delivery to the new Ruwais Refinery West (RRW) project, located approximately 12km to the east of Jebel Dhanna terminal.

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