Dubai, UAE — ADNOC and Abu Dhabi National Energy Company (TAQA) Wednesday announced the award of a strategic investment project estimated at up to $2.4 billion (AED 8.8 billion) to provide sustainable water supply for ADNOC’s onshore operations.
The project will develop a centralized seawater treatment facility and transportation network for operations at the Bab and Bu Hasa fields in Abu Dhabi.
This project will replace the current high-salinity, deep aquifer water systems at the fields, thereby reducing water injection related energy consumption by up to 30 percent. The project will be connected to the grid and will receive 100 percent of its power from clean energy sources.
ADNOC and TAQA will jointly hold a 51 percent majority stake (25.5 percent each) in the Project Company and the remaining 49 percent stake has been awarded to a consortium comprised of Orascom Construction and Metito.
The Consortium will arrange the project financing for the construction phase and develop the project under a build, own, operate and transfer model, with the full project being returned to ADNOC after 30 years of operation.
Abdulmunim Al Kindy, ADNOC Upstream Executive Director, said, “With a substantial portion of the project value flowing back into the UAE economy, this landmark initiaitive will further stimulate economic and industrial growth and create commercial opportunities for the private sector.”
More than 60 percent of the project value during the development and operation phases will flow back into the UAE’s economy under ADNOC’s highly successful In-Country Value (ICV) program.
The project will deliver more than 110 million imperial gallons per day (MIGD) of nano filtered seawater through 75 kilometers of transportation and over 230 kilometers of distribution pipelines and two pumping stations, supplying sustainable water for ADNOC’s onshore operations.