Abu Dhabi has awarded Shell a 30-year contract to develop a key gas field. State-owned Abu Dhabi National Oil Company (ADNOC) will hold a 60% equity stake in the joint venture (JV), to manage the Bab ultra-sour gas field, which will produce 400-600mn cfd of sales gas, with Shell holding 40%. Shell also has 15% of the Abu Dhabi Gas Industries (GASCO) consortium – ADNOC 68%; Shell 15%; Total 15%; and Portugal’s Partex 2% – which operates the emirate’s key onshore gas fields and processing plants.
Shell on 30 April said the two companies will now enter a period of commercial and technical work leading to the development of the Bab reservoirs, 150km south-west of the city of Abu Dhabi. It is intended that the JV will be the operator, producing gas to supply the domestic market. (CONTINUED - 358 WORDS)