Adnoc, Occidental jv for Shah field

The Abu Dhabi National Oil Company (Adnoc) and Occidental Petroleum Corporation have signed a partnership agreement to participate in the development of Shah Gas Field in the emirate of Abu Dhabi.

Under the agreement, ADNOC and Occidental shall bear all the costs of the project of developing Shah Gas Field.

The Shah gas project involves development of high-sulphur content reservoirs within the Shah field, located onshore approximately 180 km southwest of the city of Abu Dhabi.

The project will involve development of several gas gathering systems, construction of new gas and liquid pipelines and processing trains to process 1 billion cubic feet of high-sulfur content gas. This is anticipated to produce approximately 500 million cubic feet per day of network gas and a significant amount of condensate and natural gas liquids.

Abu Dhabi Gas Development Company Limited which was established by Emiri decree in February 2010 to manage, operate and develop Shah Gas Field project on behalf of Adnoc and Occidental where Adnoc will hold a 60 per cent share while Occidental will hold a 40 per cent share.

Production from the field is scheduled to begin in 2014.

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