Adco receives bids for North East Bab contracts

02 July 2012

Abu Dhabi onshore operator assesses proposals for project management and engineering design

Abu Dhabi has received bids from contractors vying to manage and design the latest development of its onshore North East Bab oil fields.

Project owner Abu Dhabi Company for Onshore Oil Operations (Adco) is carrying out the third phase of expansion at the Al-Dabbiya, Rumaitha and Shanyel oil fields, increasing output by a total of 111,000 barrels a day (b/d).

UK-based groups Amec and Mott MacDonald, US-Canadian Veco and Australia’s WorleyParsons all submitted commercial proposals for the project management consultancy (PMC) contract.

Austria-based ILF Consulting Engineers, which was prequalified for the contract, declined to submit a commercial bid, according to a source close to the bidding process.

The PMC contract will cover the front-end engineering (feed) design phase of the North East Bab phase 3 project.

Companies including US contractors Mustang Engineering and Shaw Group have submitted bids for the project’s feed contract. Both feed and PMC contracts are expected to be awarded around the same time in July.

The value of the project’s engineering, procurement and construction (EPC) contract, which will be tendered after the feed phase, is estimated at about $250m.

North East Bab oil production comes from three separate fields. The third phase of North East Bab production is designed to increase production capacity at the Rumaitha and Shanayel fields to 39,000 b/d and the Al-Dabbiya field to 73,000 b/d.

State-owned Abu Dhabi National Oil Company holds a 60 per cent stake in Adco. The other stake holders, the US-based ExxonMobil, UK-Dutch Shell, France’s Total, the UK’s BP and Portugal’s Partex Oil & Gas, hold the remaining 40 per cent.

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