Adnoc to invest AED5.1bn to boost onshore crude capacity

ABU DHABI / WAM

The Abu Dhabi National Oil Company (Adnoc) on Wednesday announced an AED5.1 billion ($1.4 billion) investment to upgrade and expand its Bu Hasa field that will increase crude oil production capacity to 650,000 barrels per day (bpd). This is an important step towards delivery of Adnoc’s 2030 smart growth strategy that seeks to increase its crude oil production capacity and reduce cost to create a more profitable upstream business.
An engineering, procurement and construction (EPC) contract has been awarded to Spanish based engineering company Tecnicas Reunidas SA by Adnoc’s subsidiary, Adnoc Onshore, which operates the field. The works are expected to take 39 months to complete and the upgrade will increase oil production capacity from 550,000 bpd to 650,000 bpd by the end of 2020.
The award of the EPC contract follows the recent endorsement, by Abu Dhabi’s Supreme Petroleum Council’s, of Adnoc’s plans to increase its crude oil production capacity to 4 million barrels per day (mmbpd) in 2020, and 5 mmbpd in 2030.
Dr Sultan Al Jaber, UAE Minister of State and Adnoc Group CEO, said, “This significant investment in the Bu Hasa field will enable production capacity to be increased and generate additional value. We are on track to meet our production capacity target of 3.5 million barrels of oil per day by the end of this year, and, as we look beyond that to 4 million barrels per day by the end of 2020, this contract is yet another sign of our clear commitment to making smart investments to maximise the value of Abu Dhabi’s oil resources and drive significant In-Country Value, in line with our wise leadership’s directives.”
The Bu Hasa field, located 200 kilometres south of Abu Dhabi city, is one of Adnoc’s oldest oil fields, with production starting in 1965. It is operated by Adnoc Onshore.

Adnoc, Mubadala to explore growth opportunities
ABU DHABI / WAM

The Abu Dhabi National Oil Company (Adnoc) and Mubadala Investment Company (Mubadala) signed a framework agreement to explore together potential global growth opportunities that build on Mubadala’s
diverse portfolio of refini-
ng and petrochemicals assets and support Adnoc’s
international downstream investment ambitions.
Abdulaziz Alhajri, Director of Adnoc’s Downstream Directorate, said, “This agre-ement is a natural evolution of the close relationship between Adnoc and Mubadala. It will ensure that, in partnership, we continue to maximise value from our hydrocarbon resources, in line with the leadership’s directives of stretching the value of every barrel of oil we produce.”