Abu Dhabi – Mubasher: ADNOC Gas has awarded a $615 million (AED 2.26 billion) contract to Petrofac Emirates for its carbon capture project, according to a press release.
The engineering, procurement, and construction (EPC) agreement comes within the framework of ADNOC’s accelerated decarbonization plan.
The Habshan Carbon Capture, UtiliSsation, and Storage (CCUS) project is forecast to be commissioned in 2026. Meanwhile, ADNOC Gas will handle building, operating, and maintaining the project on behalf of ADNOC.
Regarded as one of the largest carbon capture projects in the MENA region, the CCUS project will have the capacity to capture and permanently store 1.50 million tonnes per annum (mtpa) of CO2.
Ahmed Mohamed Alebri, CEO of ADNOC Gas, said: “Integrated carbon capture projects, such as the Habshan CCUS project, are essential building blocks for ADNOCGas to achieve its decarbonization goals.”
“This project represents our commitment to significantly reduce greenhouse gas emissions while unlocking new and attractive commercial opportunities for delivering sustainable, lower-carbon growth for the company,” Alebri indicated.
More than 65% of the contract value will be directed into the UAE’s economy through ADNOC’s In-Country Value (ICV) programme. It will back the country’s local economic and industrial growth.
The Habshan project will anchor enhanced oil recovery of low-carbon-intensity barrels and the production of low-carbon feedstocks to enable customers decarbonise their operations.
It builds on ADNOC’s carbon capture facility Al Reyadah, which has an annual capacity to capture up to 800,000 tons of CO2.
During the first half (H1) of 2023, ADNOC Gas registered a net income amounting to AED 2.25 billion, down 12% year-on-year (YoY) from AED 2.55 billion.
