Abu Dhabi postpones refinery pipelines bid

06 July 2010

Delay to inter-refinery pipelines scheme

Abu Dhabi Oil Refining Company (Takreer) has further extended the deadline for technical and commercial submissions by 15 days for an estimated $700m pipelines deal.

The state-refiner told international engineering firms lining up to bid on the engineering, procurement and construction (EPC) deal to submit technical proposals by 20 July, rather than original date of 5 July.

Commercial proposals have also been pushed back. Originally set for 22 July, contractors now say the cut-off date for prices is likely to be extended until the end of August or mid-September, after the holy month of Ramadan.

Takreeer invited contractors to bid for the main EPC contract on 11 March, but pushed both deadlines back after firms prequalified to bid on the deal asked for more time to prepare their proposals. In June, the company asked firms to incorporate a new security system into their proposals (MEED 11:6:10).

Firms prequalified to bid on the contract include:

  • Techint (Italy)
  • Saipem (Italy)
  • Samsung Engineering & Construction Company (South Korea)
  • Consolidated Contractors Company (CCC) (Athens-based)
  • Dodsal (India)
  • Technip (France)

The deal is part of a second-phase scheme to link the emirate’s refineries known as the inter-refinery pipeline project (IRP) 2. The winning firm will build more than 900 kilometres of pipelines, ranging from 10 to 28 inches in diameter, as well as a network of closed-circuit television (CCTV) cameras along the route.

Estimated at $700m, it is one of the biggest pipeline deals to be tendered in the emirate in recent years.

The main part of the contract covers a 230km pipeline linking the Abu Dhabi refinery with Takreer’s Ruwais refinery. The pipeline network will also link the Ruwais refinery, the Abu Dhabi refinery, the Al-Ain storage depot, the Mussafah distribution depot and Abu Dhabi International airport. The contract also covers the construction of around 24 oil storage tanks across the emirate.

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