Contractors prepare to submit prices for Abu Dhabi onshore oil projects

19 January 2017

Packages for tie-in on southeast fields remain at technical bids phase

Companies are expected to submit prices in the coming months on two engineering, procurement and production (EPC) packages for projects on Abu Dhabi’s southeast onshore fields.

Technical bids were submitted on 19 July last year for packages C and D of the South East Tie-In but no commercial bid deadline was announced.

Project owner Abu Dhabi Company for Onshore Petroleum Operations (Adco) is now expected to invite commercial bids after making changes to the technical scope of the packages, according to sources familiar with the project.

“We are expecting movement on commercial bids in February,” a source told MEED.

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)

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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