ADNOC confirms contract award to enable delivery of Ghasha Mega-Project

Fossil Energy – Gas Project

ADNOC Drilling today confirmed the award of contracts worth $2 billion to enable the delivery of ADNOC’s Ghasha offshore mega gas project.

The contracts are valued at $1.3 billion for Integrated Drilling Services, and $700 million for the provision of four island drilling units, supporting acceleration of ADNOC Drilling’s medium-term revenue and earnings growth at very attractive margins.

Each contract has a fixed term of ten years, with the IDS portion of the award adding $40 million per year to the Company’s previous Oilfield Services revenue guidance.

The Ghasha project is the world’s largest offshore sour gas development and plays a key role in ADNOC’s plans to meet growing domestic and international demand for gas, as well as enabling gas self-sufficiency for the UAE. Production from the concession is expected to start around 2025, ramping up to produce more than 1.5 billion standard cubic feet per day before the end of the decade.

Original Source: https://ocean-energyresources.com/2022/07/28/adnoc-confirms-contract-award-to-enable-delivery-of-ghasha-mega-project/