ADNOC, TOTAL Deliver 1st Unconventional Gas from UAE

Logos of ADNOC are seen at Gastech, the world's biggest expo for the gas industry, in Chiba, Japan, April 4, 2017. REUTERS/Toru Hanai
Logos of ADNOC are seen at Gastech, the world's biggest expo for the gas industry, in Chiba, Japan, April 4, 2017. REUTERS/Toru Hanai
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ADNOC, TOTAL Deliver 1st Unconventional Gas from UAE

Logos of ADNOC are seen at Gastech, the world's biggest expo for the gas industry, in Chiba, Japan, April 4, 2017. REUTERS/Toru Hanai
Logos of ADNOC are seen at Gastech, the world's biggest expo for the gas industry, in Chiba, Japan, April 4, 2017. REUTERS/Toru Hanai

The Abu Dhabi National Oil Company, ADNOC, and TOTAL announced on Wednesday the delivery of the first unconventional gas from the UAE, Emirates News Agency reported.

The gas was delivered from the Ruwais Diyab Unconventional Gas Concession located 200 kilometers west of Abu Dhabi city, it said.

According to WAM, this achievement marks a significant milestone towards future full field development and is an important step towards ADNOC’s target of producing 1 billion standard cubic feet, scfd, of gas from the concession before 2030, ultimately enabling gas self-sufficiency for the UAE.

First gas from Ruwais Diyab comes just two years after ADNOC and TOTAL signed the region’s first historic unconventional gas concession agreement. In addition, this initial production milestone marks the first time an unconventional gas development in the Middle East delivers gas to pipeline so early in the project timeline.

The accelerated progress was made possible by the strong commitment and collaboration between ADNOC and TOTAL, enabling them to fast track the exploration of these unconventional gas resources, while tailoring operations to the UAE's shale play type.

"This achievement marks another important milestone in the development of the UAE’s unconventional gas resources as we deliver on our integrated gas strategy and work to achieve gas self-sufficiency for the nation,” said ADNOC Upstream Executive Director Yaser Saeed Almazrouei.

"The accelerated progress in Ruwais Diyab is a testament to the long-standing partnership between ADNOC and TOTAL, which has enabled us to expedite the learning curve in the production of unconventional gas resources, provided cost optimization opportunities and driven efficiencies. All of these remain key as we move forward with confidence to further develop the concession and unlock its substantial potential to drive sustainable value for the UAE and its people."

This milestone builds on ADNOC’s continuous efforts to de-risk unconventional gas resources across Abu Dhabi since 2016 and comes just over a year after Abu Dhabi’s Supreme Petroleum Council, SPC, announced the discovery of 160 trillion scf of unconventional gas recoverable resources.

The unconventional gas is delivered through a purpose-built gas pipeline and centralized early production facility in the Diyab field which enables distribution through ADNOC’s gas network. The Ruwais Diyab Unconventional Gas Concession greatly benefits from its strategic location near ADNOC’s Ruwais industrial area, providing market access and allowing operations to leverage ADNOC's expansive existing infrastructure which will continue to benefit the UAE’s evolving unconventionals industry.



Saudi Industry Ministry Tables Seven New Mining Opportunities

Saudi Industry Ministry Tables Seven New Mining Opportunities
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Saudi Industry Ministry Tables Seven New Mining Opportunities

Saudi Industry Ministry Tables Seven New Mining Opportunities

The Saudi Ministry of Industry and Mineral Resources opened o Wednesday the bidding for seven new exploration licenses.

According to the ministry, the total area covered by the new licenses is close to 1,000 square kilometers.

The step is part of the ministry's Accelerated Exploration Program initiative, which aims to expedite the exploration and development of the Kingdom's estimated SAR9.3 trillion worth of mineral resources, in line with the Saudi Vision 2030 objective of making the mining sector the third pillar of the national industry.

The seven sites for which it will grant exploration licenses contain a variety of precious and base metals; among them are Umm Qasir, in the Riyadh region, with gold, silver, lead, and zinc deposits spread over 20 square kilometers, and Jabal Sabha, in Riyadh, with silver, lead, zinc, and cobalt reserves spread over 171 square kilometers.

In Aseer, Wadi Ad Dawsh contains gold, silver, and copper deposits in an area of 157.7 square kilometers. Shaib Marqan in Riyadh spans 92 square kilometers and holds gold, silver, and copper.

Wadi Al Junah in Aseer extends over 425.37 square kilometers and is a source of copper, silver, zinc, and gold. Hazm Shubat, also in Aseer, covers 93.47 square kilometers and contains gold, and Huwaymidan, in Makkah, encompasses 34 square kilometers and contains gold.

The ministry set early September 2024 as the final deadline for submitting proposals for the exploration license bids. A transparent and fair evaluation process will assess factors such as work programs, technical capabilities, social impact plans, and innovative initiatives, with 70% weight on technical aspects and 30% on community contributions.

To support exploration, the ministry has introduced new incentives, in collaboration with the Saudi Investment Ministry, including up to SAR7.5 million in funding for companies having exploration licenses less than five years old, in addition to the existing mining investment incentives like 100% foreign ownership and up to 75% capital expenditure financing.

Interested investors can visit the Ta'adeen platform to access information and technical data for the seven new sites.