Abu Dhabi oil firm awards deal to Italy's Snamprogetti

Sept. 17, 2003
The Abu Dhabi Co. for Onshore Oil Operations has awarded Italy's Snamprogetti SPA a $320 million engineering, procurement, and construction contract for enhancing production at Bu Hasa oil field 200 km southwest of Abu Dhabi, reported OPEC News Agency.

By OGJ editors

HOUSTON, Sept. 17 -- The Abu Dhabi Co. for Onshore Oil Operations (ADCO), a subsidiary of Abu Dhabi National Oil Co., has awarded Italy's Snamprogetti SPA a $320 million engineering, procurement, and construction contract for enhancing production at Bu Hasa oil field 200 km southwest of Abu Dhabi, reported OPEC News Agency.

ADCO's Bu Hasa facilities development project, aimed at offsetting an increasing gas-to-oil ratio in the field's production, had been delayed for several years. Work on the project is expected to start soon and to complete by yearend 2006.

The project includes construction of production processing and treating facilities with a nameplate capacity of 730,000 b/d of oil and the replacement of existing 50,000 b/d two-phase gas separators with four new three-phase separators. ADCO also will install gas reinjection facilities having a capacity of 250 MMscfd of gas and 120,000 b/d water injection facilities.

Abu Dhabi is enhancing or sustaining production capacity in existing fields and developing new fields in a program aimed at increasing its oil production capacity to 3 million b/d from the current 2.65 million b/d by 2006-07.