ADNOC awarded $245million Contracts to Upgrade Main Oil Lines and Jebel Dhanna Terminal

UAE’s ADNOC Onshore, a subsidiary of the Abu Dhabi National Oil Company (ADNOC), announced in a statement, the awarding of two Engineering, Procurement, and Construction (EPC) contracts to upgrade two Main Oil Lines (MOLs) and crude receiving facilities at the Jebel Dhanna Terminal in the Emirate of Abu Dhabi.

The EPC contracts have a combined value of around $245 million (AED 899.9 million).

The Projects has been awarded to China Petroleum Pipeline Engineering Company Limited – Abu Dhabi and Abu Dhabi based Target Engineering Construction Co. L.L.C.

Upgrade of two Main Oil Lines (MOLs):

The EPC contract awarded to China Petroleum Pipeline Engineering Company Limited – Abu Dhabi is valued at approximately $135 million (AED 496.8 million).

The scope of work includes replace the two MOLs which transport ADNOC’s premium grade Murban crude oil from its oilfields at Bab (BAB), Bu Hasa (BUH), North East Bab (NEB), and South East (SE) to Jebel Dhanna terminal, increasing the capacity of the pipelines by over 30 percent.

The contract is expected to be completed in 30 months.

Crude receiving facilities at the Jebel Dhanna Terminal:

The EPC contract awarded to Target Engineering Construction Co.L.L.C. is valued at approximately $110 million (AED 403.7 million)

As per the terms of contract, contractor will upgrade the crude receiving facilities at the Jebel Dhanna Terminal, enabling ADNOC to utilize parts of the terminal’s existing facilities to import Upper Zakum (UZ) crude oil from offshore and Non-System (NS) crude, for delivery to the new Ruwais Refinery West (RRW) project, located approximately 12 kilometers to the east of Jebel Dhanna terminal.

This ability to import other grades of crude at Jebel Dhanna following the completion of the project will provide ADNOC greater flexibility, highlighting how the company is extracting value from every barrel of crude it produces. The terminal was originally conceived and operated as a Murban crude oil export facility since its inception in the 1960s.

The contract is expected to be completed in 20 months

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