Gasco delays Habshan carbon dioxide injection project

29 August 2011

Retender inevitable as bid bonds have been returned

Abu Dhabi Gas Industries (Gasco) has delayed the carbon dioxide (CO2) injection project at the Habshan field, citing a change to the scope of the project.

The company will have to re-tender the project after it returned the bid bonds to contractors who had submitted technical bids in June. Sources at bidding companies believe a retender is likely by the beginning of 2012 at the latest.

“There will be a change to the scope details,” says a source at contractor.

Gasco is looking to inject CO2 into the Habshan oil and gas field to increase the pressure in the reservoir, so boosting production. The project is running alongside a similar nitrogen gas injection (NGI) scheme that is currently out to tender.

South Korea’s Samsung Engineering was the frontrunner for the contract after submitting the lowest price of around $100m on July 25. Eleven contractors had submitted commercial bids for the project. (MEED 12:08:11)

The nitrogen injection facilities will be fed via pipeline by the Elixier plant, a joint venture between Germany’s Linde and Gasco’s parent company Abu Dhabi National Oil Company (Adnoc). Elixier will begin producing the nitrogen at its air separation facilities in Mirfa by 2011.

A MEED Subscription...

Subscribe or upgrade your current MEED.com package to support your strategic planning with the MENA region’s best source of business information. Proceed to our online shop below to find out more about the features in each package.