Bids submitted for Abu Dhabi onshore oil scheme

24 August 2016

No commercial bid deadline set for two packages worth an estimated $350m combined

Several companies have submitted bids for two onshore oil engineering, procurement and construction (EPC) packages on an onshore oil field project in Abu Dhabi, according to sources familiar with the project.

Abu Dhabi Company for Onshore Petroleum Operations (Adco) invited companies to bid on packages C and D of the South East Tie-In in the second quarter of 2016. Technical proposals were submitted on 19 July after two deadline extensions.

Companies bidding for one package or both packages – estimated to be worth $350m combined – are thought to include:

  • Al-Asab General Contracting Company (UAE)
  • Alsa Engineering & Construction (UAE)
  • CAT Group (UAE)
  • China Petroleum Engineering & Construction Corporation (China)
  • Descon (Pakistan)
  • Galfar Engineering & Contracting (Oman)
  • Matrix Construction (UAE)
  • Robtstone (UAE)

Adco has yet to announce a deadline for commercial bids, when contractors will submit prices for each EPC package. “The commercial bids will take some time as the client is seeking technical clarifications,” said an industry source.

The work includes tie-ins at different types of wells at fields in Adco’s South East Asset.

Package C covers the Asab and Sahil fields, including facilities at 30 wells on the Asab field. Package D includes 40 tie-ins at wells on the Shah, Qusahwira and Mender fields.

The second phase of expansion at the Mender field has also been merged with South-East tie-in Package D, calling for 62 well heads, 20 water injectors and associated facilities. Adco is currently developing the Mender field for the first time to a capacity of about 20,000 barrels a day.

The previous South-East Tie-In packages were awarded in 2015. The EPC contract for South East Tie-In Package A was awarded to Al-Asab General Contracting Company for $175m, while Descon won the $170m contract on Package B.

Adco is a joint venture of Abu Dhabi National Oil Company (Adnoc), France’s Total, Japan’s Inpex and South Korea’s GS Energy. The onshore operator is expected to award more stakes to bring the interest held by international oil companies to 40 per cent.

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