Oilfield services provider Petrofac said on Feb. 18 it has secured two contracts worth about $1.65 billion from state-owned Abu Dhabi National Oil Company for one of the biggest gas projects in the United Arab Emirates (UAE).
The company’s Emirati unit, Petrofac Emirates, will provide engineering and construction works for the Dalma gas development project, a part of the Ghasha ultra-sour gas concession, the company said, sending its shares 1.5% higher.
The move comes as the UAE, a key member of OPEC, looks to achieve gas self-sufficiency and become a net gas exporter.
The Ghasha project consists of three major gas and condensate development projects—Hail, Ghasha and Dalma—and could produce more than 120,000 barrels of oil per day once completed.
The first package of the contract, valued at $1.07 billion, is for gas processing facilities at Arzanah island, Petrofac said.
The second tranche is valued at $591 million.
Petrofac is scheduled to report its full-year results on Feb. 25. The company had warned of a fall in annual revenue as delays in bidding processes hit new orders for its engineering and construction segment.
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