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Industry News » Sharjah signs Petrofac for $40m gas storage project

facility project has been awarded to Petrofac Facilities Management International. The value of the project is $40 million, and will feature a new high-pressure compressor facility, a high-pressure pipeline and flow lines to four existing wells in the Moveyeid Field.

Earlier this year, Sharjah National Oil Corporation (SNOC) and its partner Eni announced the discovery of natural gas and condensate onshore in Sharjah. The discovery, named “Mahani”, comes within the first year of the partnership and represents the first onshore discovery of gas in the emirate since the early 1980s.

SNOC plans to implement the project in phases, with the surface facilities to be commissioned by the end of 2020 and drilling in 2023.

“SNOC owns the ideal reservoir for such a project in terms of size, proximity to pipeline infrastructure, connectivity and composition,” said Hatem Al Mosa, CEO of Sharjah National Oil Corporation (SNOC). “However, the historic chronic shortage of gas to provide the cushion gas prevented the project from becoming a reality at that time.

“The project will allow us to store excess gas in the winter to satisfy the summer peak demand. It will also provide a readily available strategic reserve to respond to unexpected operational or market issues where connectivity and proximity become most critical.”

    

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