ADNOC Offshore, a subsidiary of Abu Dhabi National Oil Company (ADNOC), and its partners – France’s TotalEnergies, Italy’s Eni, and China National Petroleum Corporation (CNPC) – have unveiled a final investment decision (FID) for a development project in the Umm Shaif and Nasr offshore concession in the United Arab Emirates (UAE).
While reporting a $6.2 billion (AED22.6 billion) final investment decision to develop the Umm Shaif Gas Cap in Abu Dhabi, the UAE’s giant explained that the FID was accelerating its integrated global gas growth strategy. This development in the Umm Shaif and Nasr offshore concession is operated by ADNOC Offshore (60%), with TotalEnergies (20%), CNPC (10%), and Eni (10%), as partners.
The FID for Umm Shaif Gas Cap will unlock more than 600 million standard cubic feet per day (scfd) of natural gas and associated gas liquids, equivalent to almost 10% of the UAE’s current daily gas consumption. The investment is set to reinforce the country’s energy security and its role as a reliable global energy supplier. The first production from the project is expected by 2030.
Dr. Sultan Ahmed Al Jaber, UAE’s Minister of Industry and Advanced Technology and ADNOC Managing Director and Group CEO, commented: “ADNOC is accelerating its integrated gas strategy to further harness the UAE’s vast gas resources and expand our global LNG platform, as global demand for natural gas continues to rise.
“The Umm Shaif Gas Cap FID is another important milestone in delivering this strategy and reinforcing ADNOC’s position as a reliable gas supplier. Together with our international partners, we are building on decades of responsible stewardship of Abu Dhabi’s longest-operating offshore field to unlock lasting value for the UAE and our customers.”
The FID entails three engineering, procurement and construction (EPC) packages totaling $5.1 billion (AED 18.8 billion) for large-scale offshore infrastructure awarded by ADNOC to consortiums, including major UAE and international contractors. The development also encompasses a $365 million (AED 1.3 billion) 14-well drilling and integrated drilling services program to be delivered by ADNOC Drilling over 18 months using three existing rigs.