Samsung bids low for Habshan nitrogen scheme

08 August 2011

Injection facility to maintain pressure at gas field

South Korea’s Samsung Engineering has submitted the lowest bid for an estimated $100m-plus deal to build a nitrogen injection plant at the Habshan gas field for Abu Dhabi Gas Industries (Gasco).

Eleven firms submitted commercial bids for the engineering, procurement and construction (EPC) deal on 25 July. Technical proposals were submitted on 10 May. Commercial proposals were originally due in April, but were delayed due to technical issues with the proposed scheme’s compressors.

Sources close to the firm confirm that the South Korean engineers submitted the lowest price.

“They have not received any official notification yet,” says a source close to the project, but an award is expected after the end of Ramadan.

Gasco hopes to increase pressure at the Habshan field in the southwest of the emirate by building an injection system capable of delivering 670,000 cubic metres an hour of nitrogen gas, as well as a carbon dioxide recovery system for reinjection and as an industrial gas (MEED 11:7:11).

Nitrogen will be provided by Elixier, a joint venture of Germany’s Linde and state-owned Abu Dhabi National Oil Company, from its air separation facilities in Mirfa. Elixier begins production this year.

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