Work on the contract, due to start in December, will be carried out by Terasen's local joint venture, Lootah BC Gas, which has been heavily involved in establishing the UAE's first district gas grid in Sharjah (MEED 13:2:04).

The six-month contract will involve drawing up a detailed market study, network designs, a capital cost estimate and tender documents for the engineering, procurement and construction (EPC) package. It is expected to go for bid in the second half of 2005.

The proposed network, expected to cost about $300 million, will cover Abu Dhabi city and surrounding areas, Ruwais and Al-Ain. The feasibility study envisaged about 3,000 kilometres of gas mains and six city gates to serve about 120,000 customers.