Al Hosn Gas Plant Expansion a Step Closer with Award of Design Concept Contract for Additional Gas Processing Capacity

Expansion will help ensure Abu Dhabi’s rising demand for gas is met sustainably and economically

Abu Dhabi, UAE – December 7, 2016:  Plans to expand the Al Hosn Shah Gas plant’s capacity by 50 per cent have come one step closer today, with the awarding of the Front End Engineering Design (FEED) Services contract, to Britain’s Amec Foster Wheeler. 

One of the key players in the GCC region, the British consultancy has extensive experience of executing similar projects. The FEED Services contract will enable Al Hosn Gas, an ADNOC operating company, to optimize the design of the expansion project with minimal technical, cost and schedule risks.

Mansoor Al-Mehairbi, Al Hosn Gas CEO said: “The expansion project is an important part of ADNOC’s integrated Gas Master Plan, which seeks to increase natural gas supplies to support various industries nationwide. By adding 50% processing capacity, the expansion will help ensure Abu Dhabi’s steadily rising demand for gas is met, in a sustainable and economic manner.

“The project will utilize state-of-the-art technology to enhance the Shah Gas Plant’s gas processing capacity, improve efficiency and performance, and increase profitability by optimizing the use of existing assets to maximize the return on investment.” 

Expansion of the Al Hosn Shah Gas plant will increase gas processing capacity from 1.0 billion cubic feet per day to 1.5 billion cubic feet per day, while maintaining the highest degree of plant integrity and HSE requirements.

The design concept, that is scheduled to be completed by the fourth quarter of 2017, will provide the detailed design information necessary for the final investment decision to be made. The expanded plant could then become operational within the life span of ADNOC’s new five-year business plan – part of the company’s ‘2030 Strategy’ - which was approved by Abu Dhabi’s Supreme Petroleum Council earlier this month.

Under the terms of the contract, new units will be engineered to expand the plant’s processing capacity along with all associated off sites and utilities necessary to integrate the new units with existing installations, including gas gathering facilities, main gas plant, product pipelines and the Sulphur granulation plant. 

Al Hosn, one of the world’s largest plants producing sour gas, began operations in 2015 and reached its full capacity of one billion cubic feet per day in the second quarter of that year. 

Out of the one billion cubic feet per day of sour gas, Al Hosn produces 500 million cubic feet per day of network gas, 4,400 tons per day of Natural Gas liquids, 33,000 barrels per day of petroleum condensates and around 9,000 tons per day of pure granulated Sulphur – a by-product of the sour gas production process.
The expansion of Al Hosn would make ADNOC one of the world’s largest producers of Sulphur. 

ADNOC has plans to support the development of a local Sulphur products industry, including enhancing the existing ammonia and urea industry, with a new generation of advanced fertilizers.

Al Hosn Gas is a joint venture between Abu Dhabi National Oil Company (ADNOC), with a 60 percent share, and Occidental Petroleum, a 40 per cent share.