First Published: 2013-07-21

 

UAE leads MENA region in value of energy contracts

 

Two major projects on Umm al-Lulu offshore oil field development could add further $2bn to total value of investments in UAE energy sector.

 

Middle East Online

Enormous potential

ABU DHABI - The UAE leads the MENA region in value of contracts awarded in the oil and gas sector with Zakum Development Company (ZADCO) awarding a huge $3.7bn contract on the development of the offshore Upper Zakum field.

The contract is more than 50% of the total $6.7bn worth of engineering, procurement and construction (EPC) deals awarded so far in the region in the second quarter of 2013.

The ground-breaking Upper Zakum Field Development project has a total budget of around $15.6bn.

These developments mark a critical stage in the UAE's push to expand its offshore output to new fields. Equally important, however, is the country's push to optimise oil production, sustainability and innovation through successful integration of new and expanding projects. These developments will be discussed in-depth at the forthcoming UAE Oil and Gas Greenfield Projects Conference on September 10-12, 2013 at the Sofitel Hotel in Abu Dhabi.

"One of the key factors that has a significant impact on successful project execution and commissioning is the integration of oil and gas project infrastructure with technology. This conference aims to bring the entire value chain involved in the oil and gas projects sector together to discuss challenges and solutions for new projects in the UAE and the way forward. We hope encourage co-operation within the sector to boost the quality of projects execution," said Edmund O' Sullivan, Chairman, of MEED Events, organisers of the conference, which will gather high level participation from government and semi-government entities, financiers and investors, contractors, project managers and international operators and developers.

One of the highlights of the conference is a dedicated session reviewing the UAE oil and gas sector's involvement with outward investment, including critical updates on strategies as to how it intends to further diversity its regional projects.

According to Middle East projects tracker MEED Projects, if contracts are awarded as expected, this quarter could be the biggest-spending period since the final quarter of 2011, with several major projects moving towards the construction phase. Since then, contract awards for each subsequent quarter have hovered between $5bn and $10bn, with spending dominated by Saudi Arabia, UAE, Iraq and Iran.

In the UAE, two major projects on the Umm al-Lulu offshore oil field development could add a further $2bn to the total value of investments in the oil and gas sector in the emirates. The first package has already been awarded to Abu Dhabi's National Petroleum Construction Company (NPCC), while the second package is still to be decided after an NPCC-Technip consortium and South Korea-based Samsung Engineering were asked to resubmit bids in April.

The only other billion-dollar-plus contract in the MENA region so far in the second quarter was Qatar Petroleum (QP) awarding a deal to Taiwan's CTCI and Japan-based Chiyoda Corporation, This was for the $1.2bn expansion of its Ras Laffan refinery.

Preceding this event is a conference that focuses on rehabilitating ageing oil and gas fields throughout the region. The 4th Annual Middle East Brownfield Projects Conference will be held on September 9, 2013 in Sofitel Hotel in Abu Dhabi where experts will share insights and strategies to rehabilitate aged fields, using modern technologies.

"There is an enormous potential for contractors looking to work on rehabilitation, upgrade and modification schemes in the GCC. This clearly defines the Middle East's brownfield market as one of the region's high potential markets. The Middle East Brownfield Projects Conference will focus on specific challenges and opportunities over the next 12 months," continued O' Sullivan.

 

McCain says Putin bigger threat than Islamic State

Tunisian public health sector struggles to heal itself

Morocco fugitive protest leader arrested

Mattis: Civilian deaths a 'fact of life' in war on IS

Syria girls escape war with Snow White

Israel interior minister questioned on graft suspicions

Tunisia security forces kill IS fugitive

Iraq forces press Mosul offensive

Egypt’s left-wing parties start searching for Sisi competitor

Political scandal grips new Algerian government

Jordan gearing up for another Ramadan with refugees

Egypt’s left-wing parties start searching for Sisi competitor

US urged to keep track of its Iraq arms supply

Images emerge of Manchester bomber as runners defy threat

Qatar risks US sanctions over support for Hamas, Muslim Brotherhood

Libya jihadist group Ansar al-Sharia announces dissolution

Iran leader launches fierce attack on ‘milking cow’ Saudis

US-Turkish relations go from bad to worse

Egypt hits jihadists as IS claims deadly attack on Christians

Britain arrests two more in Manchester attack probe

Turkey charges opposition newspaper staff

Death toll in Tripoli clashes reaches 52

Hundreds of migrants rescued in major operation off Libya

Palestinians end mass hunger strike in Israel jails

Egypt Christians bury victims with tears, anger

Ramadan in Libya: little cash, much violence

UN braces for up to 200,000 Iraqis to flee Mosul

Iraq forces launch broad attack on IS holdouts in Mosul

Civilians flee IS-held Syria cities after deadly strikes

At least 28 dead in Tripoli clashes

UN says nations bombing IS must protect civilians

26 killed in attack on Egypt Christians

Turkey identifies 'intelligence weaknesses' before coup attempt

Tunisia opens trial over 2015 beach massacre

Syria army takes control of key road

US-led strikes kill 35 civilians in east Syria

Probe finds over 100 Mosul civilians killed in US air strike

Palestinian president says US should mediate hunger strike

Libya says working closely with Britain over concert attack

EU leaders, Erdogan meet in bid to ease tensions

Myanmar to deport Turkish family wanted for alleged coup links

Iran says it has built third underground missile factory

Trump gets rough ride in EU, NATO meeting

Saudi minister confident on oil output deal

Egyptians brace for austere Ramadan