Page 13 - MEOG Week 29

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major projects with Chinese companies reached $4.1 billion.
e following projects come within the framework of the partnership between the UAe and China: e China Petroleum engineering and Construction Corporation, CPeCC, is implementing the Bab Integrated Facilities expansion project valued at $1.5 billion, with an expected completion by
the end of 2020. e project’s scope of
work involves the expansion of integrated processing facilities at the amama-A, amama-B and amama-H production zones located at Habshan, Abu Dhabi.
e project will have a total sustainable oil production rate of 450,000 barrels a day. e digital oil eld technology will be introduced to remotely monitor and analyse well performance.
CPeCC has also participated with the China o shore oil engineering Company, CooeC, to design the Belbazem oil project, one of the Al Yasat projects, at an estimated cost of $1 billion. e outcome will be declared in Q4 of 2019. e Abu Dhabi national oil Company, ADnoC, has awarded contracts worth $1.6 billion for the world’s largest continuous 3D onshore and o shore seismic survey, covering an area up to 53,000 sq km, to BGP Inc, a subsidiary of China national Petroleum Company, CnPC.
ADnoC had strengthened its strategic partnership with Chinese companies by signing an agreement in 2014, stipulating the establishment of the Al Yasat Company for limited petroleum operations. In this joint project, ADnoC holds a 60 percent share and the CnPC holds the remaining 40 percent.
In February 2017, ADnoC signed a concession agreement with the CnPC, under which CnPC acquired an eight percent stake in Abu Dhabi’s o shore oil elds, valued at AeD6.5 billion. e agreement with the CnPC has contributed to the reinforcement of economic and commercial ties between the UAe and China, and is based on the vision
of both sides to establish a mutually strategic partnership aimed at achieving additional value, in line with ADnoC’s long term growth objectives.
In March 2018, ADnoC signed two concession agreements with CnPC, under which CnPC acquired a 10 percent stake in the Umm Shaif and nasr concession and a 10 percent stake in the Lower Zakum concession.
e CnPC, through its subsidiary PetroChina, has provided AeD2.1 billion towards participation in the Umm Al Shaif and nasr concession, and AeD2.2 billion for the Lower Zakum concession managed by ADnoC o shore, on behalf of its partners.
In July 2018, ADnoC and the CnPC signed a framework agreement for expanded cooperation, aimed at strengthening a strategic partnership in the energy sector between the UAe and China. e agreement is based on the partnership between ADnoC and the CnPC, aimed at establishing a
joint mechanism to explore ways to bolster cooperation in various sectors, including exploration, development, production, petrochemical re ning, drilling, oil eld services, crude oil supply and storage, technology transfers and research and development. In november 2017, the Chinese Company for Petroleum Construction acquired the engineering, procurement and construction rights for the Bab oil eld as part of ADnoC’s plans to develop it and increase its production capacity. In December 2018, north Petroleum International of Shenhua oil Company Limited acquired four percent of ADnoC’s land concession.
In line with ADnoC’s comprehensive smart growth strategy, aimed at reinforcing value through the expansion in the eld of re ning, petrochemicals and gas processing operations, the company produces some 10,500,000 metric tonnes per year of LPG, that is marketed and sold domestically and worldwide.
In november 2018, ADnoC signed a long-term agreement with China’s Anhui Chemical Industry Group, stipulating the purchase of up to one million metric tonnes annually of ADnoC’s Lique ed Petroleum Gas, LnG, production over 10 years, which contributes to the reinforcement of ADnoC’s ties with its partners and clients in China. Wam
serVICes
Rabab Harweel Integrated Project starts production
Petroleum Development oman’s (PDo) rabab Harweel Integrated Project (rHIP) has entered the start-up phase with gas production from six sour wells to date. is key milestone comes two months ahead
of schedule, as the commissioning process progresses the plant’s capacity will be ramped up over the coming weeks.
Petrofac has provided engineering, procurement, construction management
and commissioning support services worth around US$1.25 billion for rHIP. Located
in the Harweel cluster of elds, deep in the Southern omani desert, the megaproject includes sour gas processing facilities and associated gathering and injection systems and export pipelines. It will handle the production of oil and gas from the Harweel oil reservoirs via miscible gas injection and the production of gas with condensate from the rabab reservoir through partial recycling of sour gas.
When up to capacity, the facility will deliver the export of sweet gas to the Salalah Gas Pipeline (SGL), production of stabilised condensate which is exported to the Main oil Line (MoL) via Marmul and re-injection of gas to rabab for condensate recovery
and Harweel oil reservoirs for Miscible Gas Injection.
Delivering in-country value has been key to our success for the rHIP development
and wider commitment to supporting the sustainable future of oman. We have exceeded our targets for omanisation, with omani team members employed both at our Muscat o ce and onsite. Around 50% of the project’s total procurement value was sourced within the Sultanate.
elie Lahoud, Petrofac’s Group MD,
e&C – oman, Iraq and Saudi Arabia said: “We are proud of our role in the delivery of this landmark project, the start-up marks
an important milestone. In addition to an excellent safety performance, it’s particularly pleasing that such a complex project has come in ahead of plan and that we have been able
to return signi cant value to PDo through our engineering expertise and by leveraging our extensive procurement and supply chain capabilities.”
PetroFaC
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