Adnoc awards $548M contract for expansion of Lower Zakum field

Abu Dhabi National Oil Company (Adnoc) has awarded a $548 million contract to compatriot National Petroleum Construction Company (NPCC) for work on the further expansion of its giant Lower Zakum oil and gas field.

The company said on Monday that the award comprises a key “contract to build a new main gas line at its Lower Zakum field offshore of Abu Dhabi”.

“The award will increase Lower Zakum field’s gas production capacity from 430 million to 700 million cubic feet per day, supporting Adnoc’s plans to enable gas self-sufficiency for the UAE and cater for increasing global energy demand”, it noted.

In addition, the new pipeline will handle the increased volume of associated gas produced from the Lower Zakum field, as the field’s oil production capacity increases to 450,000 barrels per day of oil by 2025, it said.

Adnoc’s announcement confirms a recent report by Upstream that tipped NPCC as the potential frontrunner for the offshore prize.