ADNOC Awards $2.8 Billion Contract to Wood Plc

Wood Plc, a global leader in consulting and engineering, delivering critical solutions across energy and materials markets, has been awarded a $2.8 billion contract by Abu Dhabi National Oil Company (ADNOC) to deliver an engineering, procurement and construction management (EPCm) package for the long-term gas processing facilities at the UAE’s Habshan facility.

The contract value includes pass through revenue, with Wood anticipated to recognise $400 million of revenue through EPCm services.

Wood’s scope includes the delivery of substantial upgrades and debottlenecking solutions to the existing Habshan and Habshan 5 gas processing mega-complexes and pipelines, including brownfield modifications and the installation of new facilities.

The Rich Gas Development (RGD) project in the UAE will increase efficiency and modernise the facility to support increased gas output from ADNOC’s upstream expansion. Habshan is one of the largest gas process complexes in the world.

RGD Vital for UAE’s Energy Security

Wood plc CEO Ken Gilmartin said that the RGD project of ADNOC Gas is pivotal to the UAE’s energy security strategy and broader economy. We’re proud to be at the heart of such a significant initiative.

“Wood gained extensive knowledge of Habshan delivering the front-end engineering design and we will deliver the EPCm phase while the facilities remain fully operational in order to sustain critical gas supply. This win reinforces our position as a leader in highly complex engineering and project delivery solutions at considerable scale,” he said.

The project will be delivered by more than 500 Wood engineering, project management and commissioning specialists based in Abu Dhabi with support from the company’s global engineering hubs. This scope is due to complete at the end of 2027.

Iraqi Contracts

It may be recalled that Wood was also awarded a series of decarbonisation contracts with a value of $100 million for flare gas reduction and carbon efficiency project solutions across the largest oil fields in Iraq.

Wood will deliver brownfield engineering, procurement and construction (EPC) and modifications solutions to enhance operational efficiency and minimise environmental impacts, in support of Iraq’s commitment to reduce gas flaring by 78% by the end of 2025.

Wood has a decades-long track record of providing decarbonisation solutions for major operators in Iraq and has implemented the country’s largest flare gas reduction programme to date, the company said.