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FINANCIAL NEWS
Adnoc, ConocoPhillips to grant $10b gas pacts
23 Feb 2010
(MENAFN) Abu Dhabi National Oil Company (Adnoc) and ConocoPhillips plan to award $10.02 billion of contracts in the first half of this year, to develop their Shah gas project, Al-Ittihad newspaper reported.
The state-run Abu Dhabi firm said earlier that it expected to see first production from the joint-venture by late 2013 or early 2014. The Shah gas project is the first project the UAE has undertaken to exploit a sour gas field.
The field has a high content of potentially deadly sulphur dioxide, making it tougher to produce than conventional reserves, the company said. The Shah project would treat nearly 1 billion cubic feet of gas from the field, and pump about 540 million cubic feet per day (cfd) of processed gas into UAE’s network.
It is worth mentioning that the UAE holds the world’s fifth-largest gas reserves, but has failed to keep up with soaring domestic demand for gas.
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