The Abu Dhabi National Oil Company (ADNOC) said on Wednesday it would invest 1.8 billion dirhams ($489 million) to upgrade its Bab onshore field and sustain long-term crude oil output capacity of 485,000 barrels per day from the field.
The UAE’s state-owned oil company awarded the contract to Archirodon Construction Overseas, which will build the facilities and infrastructure.
The contract, which has a term of more than three years, was announced at the Abu Dhabi International Petroleum Exhibition and Conference (ADIPEC).
“The Bab field already plays an important role in supporting ADNOC’s production capacity mandates and this upgrade complements ADNOC’s upstream growth plans,” the Chief Executive of ADNOC Onshore Yaser Saeed Al Mazrouei said in a statement.
The Bab field produces ADNOC’s flagship Murban crude grade. The Intercontinental Exchange (ICE) recently announced the launch of a new exchange called ICE Futures Abu Dhabi to host futures contracts based on Murban.
ADNOC, the world’s 12th largest oil company, has a daily output of about 3 million barrels of oil and 10.5 billion cubic feet of natural gas.