Abu Dhabi Gas awards another Shah development contract

By OGJ editors
HOUSTON, May 3--Abu Dhabi Gas Development Co. Ltd. awarded a $1.5 billion engineering, procurement, construction, and precommissioning contract to Samsung Engineering, Seoul, for the gas complex in the 1-bcfd Shah sour-gas development about 112 miles southwest of Abu Dhabi. Completion targets August 2013.

Abu Dhabi Gas Development also selected Samsung Engineering as interface manager and coordinator of the overall $10 billion Shah gas project.

Earlier this week, ConocoPhillips, which held a 40% interest in the project, announced it was withdrawing from the Shah project (OGJ Online, Apr. 28, 2010).

The project will develop onshore sour gas and condensate reservoirs whose first discovery was in 1966.

Original reserves reach 500-600 million bbl of 30° gravity oil in Cretaceous carbonates at 8,000 ft. The gas-condensate is in the deeper Jurassic Arab formation (OGJ Online, July 10, 2009; OGJ, Aug. 18, 2008, p. 44).

Abu Dhabi Gas Development is one of 15 companies under the aegis of Abu Dhabi National Oil Co. They cover from exploration, production, refining, and gas to petrochemicals.