Abu Dhabi National Oil Company "ADNOC" and Abu Dhabi Energy Corporation today announced a joint tender for the development and operation of a high-voltage direct current undersea electrical transmission network linking the production facilities of ADNOC marine fields to the Abu Dhabi Energy Corporation's onshore electricity network, using the latest advanced technologies . This project is the first of its kind in the Middle East and North Africa.
This project, which was launched by ADNOC in line with its continuous efforts to raise efficiency and enhance flexibility, brings together two leading national companies to enhance long-term cooperation between the two sides in national infrastructure projects and attract global partners to the Emirate of Abu Dhabi. This landmark project reflects the commitment of both parties to continue their efforts to promote responsible and sustainable investment and create value for the United Arab Emirates and Abu Dhabi, and to drive growth and development of the local economy in these exceptional circumstances that the region and the world go through.
The project is expected to contribute to reducing the environmental impacts of ADNOC marine activities by up to 30% through the efficiency of electrical energy production through the Abu Dhabi Energy Corporation's onshore facilities. The project will also lead to the possibility of reducing the electrical energy supply costs for ADNOC's offshore facilities, increasing operational efficiency and enhancing the reliability of the existing marine electrical power supply system based on gas turbine generators and replacing them with diverse, more efficient and environmentally sustainable energy sources, including renewable and nuclear energy.
The project also contributes to enabling ADNOC to benefit more efficiently from the gas currently used in the operation of marine factories and its use in other areas of high value, allowing additional revenue to be generated for the Emirate of Abu Dhabi and the company.
On this occasion, CEO of ADNOC Exploration, Development and Production Yasser Saeed Al Mazrouei said: “We are delighted to collaborate with Abu Dhabi Energy Corporation in this project, which is a natural result of the qualitative shift that ADNOC is undertaking, as it will directly support our strategy to create added value and sustainability, as well. Reinforcement of the company’s position on the list of the world's least costly producers and the lowest in carbon emissions This project will meet future electric power needs in offshore installations and fields using diverse and sustainable energy sources, even in the case of field obsolescence. Z carbon footprint of ADNOC and enable us to benefit more effectively from the gas currently used and the UAE in the marine operation of factories and use it in other areas of high value. "
He added, "The project will also achieve reductions in operating expenses in the long run that will bring ADNOC benefits to lasting strategic benefits, while we continue to enhance sustainable value and create responsible investment opportunities that will stimulate local economic growth for the UAE and Abu Dhabi, especially in light of these exceptional circumstances." That the region and the world go through. "
For his part, Omar Al Hashemi, Executive Director of Asset Management at Abu Dhabi Energy Corporation said, "As we continue to accelerate the transformation of the water and electricity sector in Abu Dhabi, Abu Dhabi Energy Corporation is pleased to cooperate with ADNOC on this important, innovative and large-scale project. This joint cooperation contributes to the consolidation of Abu Dhabi’s international position through the implementation of this mega project, the first of its kind in the region, which strengthens the partnership between two important sectors and contributes to driving the Emirate's economic growth and creating additional value in the long term.
The requests for proposals have been sent to international companies with the necessary experience, to join the partnership with ADNOC and Abu Dhabi Energy Corporation in this important infrastructure project in Abu Dhabi. The electricity transmission system will include two independent high-voltage direct current and undersea transmission transformers, all connected to the Abu Dhabi Energy Corporation's onshore electricity network, which is operated by the Abu Dhabi Transportation and Control Company (TRANSCO), which is affiliated with the Foundation, to provide a total installed capacity of 3.2 GW. The commercial operation of the project is expected to start in 2025.
This mega project will be funded through a private financing mechanism jointly owned by ADNOC 30%, Abu Dhabi Energy Corporation at 30%, developer companies and investors by 40%. The project will be implemented in the system of building, ownership, operation and transfer of ownership (BOOT), where the winning company, along with ADNOC and the Abu Dhabi Energy Corporation, will develop and operate the electric power transmission system, provided that the entire project will be returned to ADNOC at the end of the agreement.