Adnoc's New Integrated Gas Strategy Gets Ok
Supreme Petroleum Council (SPC), Abu Dhabi’s highest decision-making body for the petroleum industry, has approved state-owned Abu Dhabi National Oil Company’s (Adnoc) new integrated gas strategy and plans to increase its oil production capacity, Adnoc said November 4.
SPC’s approval will add potential resources that will enable the UAE to achieve gas self-sufficiency, with the aim of potentially transitioning to a net gas exporter, company said. At its meeting, the SPC announced new discoveries of gas in place, totalling 15 trillion ft3. “The gas strategy will sustain LNG production to 2040 and allow Adnoc to seize incremental LNG and gas-to-chemicals growth opportunities, where they arise, from the UAE’s dynamic demand/supply position and evolving energy mix,” Adnoc said.
Under the new gas strategy, Adnoc will develop the Hail, Ghasha and Dalma project that taps into Abu Dhabi’s Arab formation, which is estimated to hold trillions of cubic feet of recoverable gas. The project is expected to produce more than 1.5bn ft3/d. Adnoc said it will also unlock other sources of gas, which include Abu Dhabi’s gas caps and unconventional gas reserves, as well as new natural gas accumulations, which will continue to be appraised and developed as the company pursues its exploration activities.
In September, Adnoc LNG signed September 26 its contract with Spanish contractor Tecnidas Reunidas (TR) and UAE-based Target Engineering and Construction to expand its facilities.
SPC also announced Adnoc new discoveries of 1bn barrels of oil in place and approved Adnoc’s new five-year business plan and capital investment growth of $132.33bn between 2019-2023. The company plans to increase oil output capacity to 4mn b/d at the end of 2020 and 5mn b/d by 2030.