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JGC awarded Abu Dhabi crude oil processing contract

Posted: 19 May 2003

JGC has won a contract for the construction of crude oil processing facilities in Bab, Abu Dhabi, a project implemented by ADCO, Abu Dhabi Company for Onshore Oil Operations.

ADCO operates in the ADNOC Group of Companies, Abu Dhabi's state-owned oil organization. The contract signing for this project took place in Abu Dhabi on 15 March.

JGC will provide design, materials/equipment procurement, construction and commissioning for crude oil processing facilities. The value of the contract is approximately ¥11 billion and completion is scheduled for the end of 2004.

Abu Dhabi, with a crude oil production capacity of 2.3 million bpd as the total of onshore and offshore combined, is planning to increase this capacity to 3 million bpd.

The project awarded to JGC is part of a national program, and is an expansion of existing facilities located in Bab, some 150 km southwest of the city of Abu Dhabi.

The facilities collect crude oil from a number of wells in that area and remove impurities before shipping it as a sellable oil.

The expansion project calls for the construction of crude oil processing Train 6 and Train 7, designed to increase the plant's total crude production capacity from the present 250,000bpd to 350,000bpd.

This expansion includes the upgrading of existing control systems, pipeline installation, and the reinforcement of auxiliary facilities, including utilities.

This is the first EPC contract to be awarded to JGC in Abu Dhabi, although JGC has established an impressive record of project achievements in other parts of the Middle East and in Africa, based on numerous oil and gas projects handled to date. Abu Dhabi is a major oil-producing country, having a 10 per cent share of the world's crude oil reserves. A number of similar crude oil processing projects, as well as gas processing projects, are being planned in this Emirate.

The award of this contract is of great strategic significance to JGC. The momentum will encourage JGC to develop further expanded, more vigorous sales activities in Abu Dhabi.

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Posted by Richard Price, Editor EnergyME.com

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