ADOC awarded Hail FEED contract to Technip
The Cosmo Oil Ltd (Cosmo Oil) subsidiary, Abu Dhabi Oil Corporation (ADOC), made the decision to start the design phase of the Hail oil field offshore Abu Dhabi in the United Arab Emirates in awarding the front end engineering and design (FEED) contract to the French engineering company Technip.
Headquartered in Tokyo, Japan, ADOC is a joint venture with working interests shared between:
– Cosmo Oil 63% is the operator
– JX Nippon Oil & Gas Exploration Corporation 31.5%
– Tokyo Electric Power 1.8%
– Chubu Electric Power 1.8%
– Kansai Electric Power 1.8%
Established in 1968, ADOC has been operating its first concession in Abu Dhabi for 45 years.
This concession was covering the exploration and development in three fields offshore Abu Dhabi Mubarraz, Neewat and Umm All Anbar.
The production in these fields may look marginal compared with the giant Abu Dhabi Zakum or Upper Zakum oil and gas fields, but the accumulation of the marginal fields to the main ones, contribute to reach Abu Dhabi Emirates production targets 2018 such as defined by the OPEC quotas.
In 2011, ADOC has been awarded the renewal of its concession for a period of 30 years.
In the new concession, ADOC benefited from the ad-junction of the Hail field to the three previous ones.
Mott MacDonald provides Hail with Project Management
Located 10 kilometers southeast of the Mubarraz Island, the Hail field is lying in the shallow water of Abu Dhabi Emirates.
Although Hail field was easy to access, its location and complexity had motivated the Abu Dhabi Gas Liquefaction Company (ADGAS) to leave the field undeveloped after a feasibility study performed in 2008.
The Hail reservoir is made of two layers separated by a bed of rocks.
The crude oil is contained in the upper layer, while the gas is concentrated in the lower layer below the bed of rocks.
After some exploration the gas is marked by a high concentration of hydrogen sulfide that could cause severe damages to the sensitive marine environment of the Gulf shallow water.
The short distance from the shore prevents also to take any risk in the development of the Hail field.
Therefore, the Hail concession granted to ADOC is only covering the exploration – production of the crude oil field.
In December 2013, ADOC selected the UK-based engineering company Mott MacDonald to provide Hail development with project management consultancy (PMC).
This Hail PMC contract will cover all engineering services from the FEED stage to the installation on site including the construction of a new artificial island and passing by the call for tender of the engineering, procurement and construction (EPC) contracts for the wellheads, the production facilities and utilities.
In awarding the FEED contract to Technip on the second quarter 2014, ADOC is planning to sanction Hail EPC contracts in 2015 for first production to come on stream in 2018.
The post Japanese Cosmo Oil enters design stage at Abu Dhabi Hail offshore field appeared first on 2B1stconsulting.
