NPCC awarded package one of Nasr field development

15 July 2014

Local group continues remarkable run of contracts in Abu Dhabi offshore sector

UAE-based National Petroleum Construction Company (NPCC) has been awarded the contract for package one of Abu Dhabi’s offshore Nasr full field development, according to sources close to the bidding process.

The estimated $800-900m engineering, procurement and construction (EPC) contract was awarded by Abu Dhabi Marine Operating Company (Adma-Opco), which is developing the Nasr field as part of its offshore capacity expansion programme.

Adma-Opco awarded the larger second package to a consortium led by South Korea’s Hyundai Heavy Industries (HHI) for $1.94bn, MEED revealed on 9 July.

The scope of package one includes seven wellhead platforms, pipelines, modifications to the Integrated Gas Development (IGD)-Habshan platform (HAP) and associated facilities, according to industry sources.

US-based McDermott was initially thought to be the lowest bidder for the first package. However, according to one source, Adma-Opco changed the order of bidding by the application of the main electrical equipment system price making NPCC the low bidder.

Other bidders for package one were HHI, UK-based Petrofac and Italy’s Saipem.

The Nasr full field development is expected to be completed in the second half of 2019, increasing the production capacity of the offshore field to 65,000 barrels a day (b/d) from 22,000 b/d.

The scope of HHI’s work on package two includes: a super complex comprising a gas treatment platform, a separation platform, an accommodation platform; laying 144 kilometres of subsea power and 55 kilometres of infield cables; and modifying an existing manifold tower and two wellhead towers.

The full-field development is the second phase of the expansions of the Nasr field. Phase one, covering the early production facilities, is currently under execution after the EPC deal was awarded to Indian contractor Larsen & Toubro in 2011.

Nasr, which lies 130 kilometres northwest of Abu Dhabi city, is part of Adma-Opco’s offshore expansion programme, which also encompasses the Satah al-Razboot (Sarb) and Umm al-Lulu fields. The offshore producer plans to boost its production capacity by 400,000 b/d by 2020.

The award for NPCC marks a remarkable run of EPC contract awards picked up by the UAE group in Abu Dhabi’s offshore industry in recent years. The company has now won about $2.5bn worth of contracts from Adma-Opco alone since the second quarter of 2013, including deals on the Umm al-Lulu and Lower Zakum fields.

 Adma-Opco is majority-owned by state-run Abu Dhabi National Oil Company (Adnoc), with minority stakes held by the UK’s BP, France’s Total and Japan Oil Development Company (Jodco).

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