Latest news with #gasdevelopment
Trade Arabia
10-06-2025
- Business
- Trade Arabia
Adnoc Gas awards $5bn contracts for key Abu Dhabi RGD project
Adnoc Gas, an integrated gas processing and sales company, has awarded key engineering, procurement and construction management (EPCM) contracts worth $5 billion for the first phase of its Rich Gas Development (RGD) project in Abu Dhabi, marking a key milestone in the company's largest-ever capital investment. These contracts involve expanding key processing units to increase throughput and improve operational efficiency across four Adnoc Gas Facilities - Asab, Buhasa, Habshan (Onshore), and the Das Island liquefaction facility (Offshore). The company intends to take final investment decisions (FID) on two additional phases of the RGD project at Habshan and Ruwais to enable the delivery of greater production capacity to meet growing market demands. The RGD project will enable the development of new gas reservoirs, which are key to boosting liquid gas exports, supporting gas self-sufficiency in the UAE, and providing essential feedstock to the country's growing petrochemical industry, it stated. According to Adnoc Gas, EPCM contracts have been awarded in three tranches for phase 1. The first tranche, valued at $2.8 billion, has been awarded to Wood for the Habshan facility. The remaining two tranches – $1.2 billion for the Das Island liquefaction facility and $1.1 billion for the Asab and Buhasa facilities – have been awarded to two consortia: Petrofac; and Kent, it stated On the new contracts, Adnoc Gas CEO Fatema Al Nuaimi said: "The FID and contract awards for the first phase of the Rich Gas Development project mark a significant milestone in our strategy to deliver +40% ebitda growth between 2023 and 2029." "This strategic investment is expected to deliver significant new value for our shareholders and enable continued sustainable growth for the company, our employees, and the UAE," she stated. Phase 1 of the RGD project focuses on optimising and debottlenecking existing gas assets while unlocking new and valuable gas streams. As part of Adnoc Gas' long-term strategy, which is focused on growth and futureproofing its business, the RGD project aligns with the company's vision to deliver important growth initiatives between 2025 and 2029, said Al Nuaimi.
The National
10-06-2025
- Business
- The National
Adnoc Gas awards $5bn in contracts for Rich Gas Development project
Abu Dhabi's Adnoc Gas has awarded contracts worth $5 billion for a key project that is part of its major operational expansion and self-sufficiency strategy. The final investment decision is the first of three phases for the Rich Gas Development project, which is expected to boost the company's Ebitda by 40 per cent through 2029, Adnoc Gas said in a statement on Tuesday. Ebitda – or earnings before interest, taxes, depreciation and amortisation – is a key metric used by companies to measure core profitability. The contracts are part of what Adnoc Gas, a unit of state-owned energy major Abu Dhabi National Oil Company, said is its biggest ever capital investment. They involve boosting key processing units to increase efficiency across its four gas facilities in Asab, Buhasa, onshore Habshan and Das Island, the company said. The engineering, procurement and construction management contracts were awarded in three tranches: Scotland-based professional services firm Wood secured $2.8 billion for Habshan, while a consortia of London-based Petrofac and Dubai's Kent received $1.2 billion and $1.1 billion for Das Island, and Asab and Buhasa, respectively. Adnoc Gas first hinted in November that it would make the investment decision for the Rich Gas Development project in 2025. A decision for another major project, the Bab Gas Cap development, is expected in 2026. The Rich Gas Development project will help develop new gas reservoirs, which in turn, would increase liquid gas exports, support the UAE's gas self-sufficiency agenda and provide feedstock to the country's growing petrochemical industry, the company said. The first phase of the project will focus on optimising and removing bottlenecks in existing Adnoc Gas assets while unlocking new and valuable gas streams, in addition to future-proofing its business. The company plans to decide on the next two phases of the project at Habshan and Ruwais to 'enable the delivery of greater production capacity to meet growing market demands', but did not give a timeline. The investment in the Rich Gas Development project marks a 'significant milestone' for the company, Fatema Al Nuaimi, chief executive of Adnoc Gas, said in the statement. 'This strategic investment is expected to deliver significant new value for our shareholders and enable continued sustainable growth for the company, our employees and the UAE,' she added. Adnoc Gas, which has access to 95 per cent of the UAE's natural gas reserves, is looking to boost exports of products such as liquefied natural gas, liquefied petroleum gas and naphtha. Its customers in the Emirates include utilities and industrial companies, which are supplied commercial quantities through an extensive network of pipelines. Adnoc Gas, alongside other Adnoc units, has been boosting investments to expand its geographical and operational reach. In May, the company reported a 7 per cent year-on-year increase in net income to $1.27 billion, driven by strong domestic demand for gas and continued economic growth in the UAE, the Arab world's second-largest economy. Adnoc Gas is also eligible for potential inclusion in the Morgan Stanley Capital International and Financial Times Stock Exchange emerging market indexes as early as June and September respectively, it said. Adnoc sold part of its stake in the subsidiary to institutional investors as it looks to improve liquidity and raise capital. The recently completed offering of 3.1 billion shares in Adnoc Gas increased the free float by 4 per cent to 9 per cent.
The Guardian
10-06-2025
- Business
- The Guardian
Neither glib lines nor warm thoughts can hide the cynicism of Labor's North West Shelf decision
Fans of naked political cynicism have had plenty to cheer of late. Those hoping for something more from their elected leaders – a bit of principle and coherency, say – have had no shortage of reasons to lament what Michael Stipe once called the downhill slide into abysmal. In Australia, there is cynicism right through the Albanese government's proposed approval of a 45-year life extension for one of the world's biggest gas developments. The 28 May announcement that Labor planned to greenlight the North West Shelf liquified natural gas (LNG) project, on the Burrup Hub in northern Western Australia, to run until 2070 came just 15 days after Murray Watt was sworn in as environment minister. The rapid turnaround suggests either departmental advice backing the decision was waiting for him when he arrived, or he digested it particularly quickly. The advice hadn't been available a few weeks earlier, when Watt's predecessor, Tanya Plibersek, delayed the decision until just beyond the election, saying officials needed more time. It is tempting to speculate what might have happened had the extension been announced prior to 3 May. Given the scale of Labor's victory, the impact may have been around the margins. It might have made things even tighter in Fremantle, where a community independent who ran hard against the extension, Kate Hulett, gave Labor's Josh Wilson a scare. It may have helped the Greens hang on in Melbourne and Brisbane, and added fuel to other climate-focused independent campaigns. We'll never know. What we do know is the North West Shelf extension is backed not just by the minister, but the prime minister and cabinet – and there was nothing particularly surprising about where they landed. It was only a year ago that the resources minister, Madeleine King, released a 'future gas strategy' that – for reasons not fully explained – assumed greater ongoing demand for the fossil fuel than any scenario proposed by the International Energy Agency, and declared new sources of the fossil fuel would be needed 'to 2050 and beyond'. Even with this factored in, the language Anthony Albanese used when asked about the decision was striking in its dismissiveness. His line varied a little depending on when you caught him, but included gas being needed for the Tomago aluminium smelter in New South Wales and to 'firm up' renewable energy in electricity grids on the east and west coasts. This was mostly dissembling, and nonsense. For now, at least, no fuel from the North West Shelf is used in the east. Only a fraction is directed to power plants in Perth's electricity grid, which requires relatively little gas and has other sources to draw from. Nearly all the gas from the Burrup Hub is shipped overseas or used on site during production. Albanese also justified decades-long gas expansion by saying Australia's 2050 target set was 'net zero, not zero' and 'you don't change a transition through warm thoughts, you do it through a concrete proposal'. True enough, if your goal is just to get through a press conference unscathed. But the former is a line most usually rolled out by people arguing against the need to act rapidly on climate – not a club Albanese would usually want to align himself with. The latter might be better saved for when you actually have a plan to reach net zero emissions across the economy. His government hasn't released one yet. It reinforces a perception that the prime minister's commitment to the climate crisis is too often built on the idea that being better than the Coalition – which went to the election promising nothing to address the climate crisis for at least the next decade and a long-term nuclear pledge that didn't add up – is enough. But that's not how it works. Labor did take strides on climate in the last term. Chris Bowen's renewable energy underwriting program – the capacity investment scheme – will help drive the construction of large-scale solar, wind and batteries needed to help replace creaky old coal plants. The parliament passed a long-promised vehicle efficiency standard to help clean up emissions from most new cars. A Future Made in Australia bill introduced by the treasurer, Jim Chalmers, offers billions in tax credits for green industries. A subsidy for household batteries is on the way. Sign up to Clear Air Australia Adam Morton brings you incisive analysis about the politics and impact of the climate crisis after newsletter promotion But national greenhouse gas emissions are not coming down at anything like the pace required. Last year they didn't come down at all. And there is an equally compelling list of policy areas that have not been addressed. Two stand out. The first is the reliance on often questionable carbon offsets that the owners of major industrial facilities can buy in lieu of making direct emissions cuts. Experts advise offsets cannot be used to justify expanding fossil fuel use if the world is going to limit climate breakdown. Instead, nature and other projects that draw down CO2 from the atmosphere will need to complement deep on-site cuts in fossil pollution. That isn't happening yet. The second is the unwillingness to come to grips with the impact of Australia's near world-leading fossil fuel exports. On this, the country needs more than simple lines. It's true that it can't fix the problem alone, and the answer is not as simple as turning off the fossil fuel tap. It's equally true that if the world is going to come to grips with the crisis, exporters and importers have to work together as rapidly as possible to find new solutions. Would anyone suggest Australia is taking this responsibility as seriously as it could? Labor has approved about 30 fossil fuel developments and expansions since it was elected in 2022. Choosing another path would need a whole-of-government response that prioritises the climate crisis in decision-making. It means leadership from the top in tackling what getting to net zero actually means. Albanese's public comments since the election have been running in the opposite direction. Meanwhile, Australia has been hit by simultaneous devastating drought and floods in neighbouring states. An unprecedented marine heatwave around the country has engulfed an area five times the size of the continent. It has contributed to havoc across the region, including a massive toxic algal bloom in South Australia and unprecedented damage to WA coral reef ecosystems that scientists have described as astounding and heart-breaking. Researchers say the 'sleeping giant' of Antarctica has awoken and is showing signs of abrupt changes that could affect us all. The World Meteorological Organization says the world is racing towards breaking temperature goals set out in the 2015 Paris climate agreement much faster than expected. Neither glib lines nor warm thoughts will help much in responding to these. Serious concrete proposals – both on across-the-board emissions cuts and adapting to what we're living through – are what's needed.
Zawya
09-06-2025
- Business
- Zawya
Gas development projects to save Iraq $17bln
Gas development projects awarded to BP, TotalEnergies and other oil majors will save Iraq nearly $17 billion per year, an official revealed. The funds will be saved as such projects will massively reduce quantities of gas flared during the production process at key oilfields. 'Iraq has made noticeable progress in reducing gas flaring and turn produced gas into an efficient investment…this will contributes to saving nearly $17 billion a year, improving the environment and creating jobs for Iraqis,' Oil Ministry undersecretary for gas Izzat Ismail said, quoting by the official Iraqi News Agency on Thursday. He said the gas investment ratio increased to 53 percent in 2022, nearly 60 percent in 2023 and 68 percent in 2024, adding that the ratio currently stands at 70 percent. Ismail said the ratio is set to sharply increase in the coming years when major gas development projects are completed, mainly those executed by France's energy giant TotalEnergies and UK-headquartered BP. TotalEnergies has already started working on a project to develop the Artawi gas field in the Southern Basra province, with an expected production of 600 million cubic feet per day. The project, part of the $10 billion Gas Growth Integrated Project (GGIP), is being developed by a consortium led by TotalEnergies, which holds a 45 percent stake. It also includes Basrah Oil Company (30 percent) and QatarEnergy (25 percent). BP is developing four fields in the Northern Kirkuk governorate under an agreement it signed with Iraq in March. The Oil Ministry has said the contract with BP includes increasing oil production to a record high of 420,000 barrels per day, boosting gas output to 400 million cubic feet per day and the construction of a 400-megawatt (MW) power plant. 'We believe that by the end of 2027, Iraq will totally shut the gas-flaring the next five years, Iraq's gas imports will be zero and in 2030 it will be able to export gas,' Ismail said. Iraq, OPEC's second largest oil producer, controls around 145 billion of proven crude deposits and 3.5 trillion cubic metres of natural gas. (Writing by Nadim Kawach; Editing by Anoop Menon) (
News.com.au
28-05-2025
- Business
- News.com.au
‘Already seven years late': Woodside's North West Shelf gas project given 40 more years by Labor
MST Financial Senior Energy Analyst Saul Kavonic claims Woodside's Energy North West Shelf gas project's extension is already 'seven years late'. Minister for Environment Murray Watt has approved a 40-year extension to Woodside's North West Shelf gas development in Western Australia. 'This approval was expected indeed, it was inevitable,' Mr Kavonic said. 'It was ultimately just delayed until after the election so that Labor didn't want to risk alienating any green-minded voters into the election. 'This really isn't a win for the economy or a win for the industry, because this is not an approval that should ever have been in jeopardy to begin with.'
