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Lamprell announces Abu Dhabi offshore project contract

14 August 2026

 

Saudi Arabia/UAE-based Lamprell has been awarded an engineering, procurement, construction and installation (EPCI) contract in Abu Dhabi to support the delivery of subsea pipeline infrastructure, enhancing offshore energy production and processing capabilities.

The project includes the engineering, procurement and fabrication of approximately 50 kilometres (km) of subsea pipeline systems, along with associated flowlines, subsea connections and testing, Lamprell said in a statement.

With the engineering, procurement and construction (EPC) activities complete, preparations are under way for the offshore installation phase, Lamprell added, without revealing further details about the project, its client or the contract value.

“Working alongside our sister company Algihaz Marine Contractors, the project demonstrates the value of combining complementary engineering, fabrication and offshore installation capabilities to deliver complex subsea infrastructure safely, efficiently and to a high standard,” the company said in a .

MEED understands the contract award relates to the first package of the Umm Shaif Gas Cap development project in Abu Dhabi, for which Abu Dhabi National Oil Company (Adnoc Group) and its foreign partners announced achieving a $6.2bn final investment decision (FID) in July.

MEED previously reported that Adnoc had awarded the EPCI contract for the package related to EPCI and fabrication of a 30,000-tonne gas compression system and associated subsea pipelines, flowlines and other structures, to a consortium of India’s Larsen & Toubro Energy Hydrocarbon (L&TEH) and Lamprell.

Larsen & Toubro (L&T) confirmed its contract award from Adnoc Group subsidiary Adnoc Offshore earlier in August, describing the order as “ultra-mega”, a term the company uses for contracts valued at more than Rs150bn ($1.57bn).

Mumbai-headquartered L&T added that the contract will be executed through a consortium, with its subsidiary L&TEH Offshore serving as the lead partner, without mentioning Lamprell.

The Umm Shaif Gas Cap reserve is located within the offshore Umm Shaif and Nasr hydrocarbons concession, which is operated by Adnoc as the majority stakeholder. The other stakeholders in the concession are Italy’s Eni, France’s TotalEnergies and China National Petroleum Corporation (CNPC).

Through this project, Adnoc and its concession partners intend to produce up to 600 million cubic feet a day (cf/d) of natural gas by unlocking the Umm Shaif Gas Cap in Abu Dhabi’s Gulf waters.

Adnoc, in its 21 July statement, said the FID includes three EPC packages totalling $5.1bn for large-scale offshore infrastructure, awarded to consortiums comprising UAE and international contractors. The company did not disclose the contractors or the scope of work.

MEED reported in May that the following contractors had emerged as frontrunners for the two offshore packages and one onshore package of the Umm Shaif Gas Cap and surface pressure boosting project:

  • First offshore package – fabrication of a 30,000-tonne gas compression system: L&TEH (India) / Lamprell (Saudi Arabia/UAE)
  • Second offshore package – fabrication of another 30,000-tonne gas compression system: McDermott (US)
  • Onshore package – EPC of gas inlet and processing systems on Das Island: China Petroleum Engineering & Construction Company

Adnoc added that, as part of the FID, it has also awarded a $365m contract to its subsidiary Adnoc Drilling for a 14-well drilling and integrated drilling services scope, to be delivered over 18 months using three existing rigs.

Umm Shaif Gas Cap project

Adnoc Offshore, the offshore oil and gas business of Adnoc Group, is the operator of the Umm Shaif Gas Cap and surface pressure boosting project.

The primary objective is to increase gas production by 550 million cf/d and raise associated condensate output by 50,000 barrels a day (b/d).

Adnoc Offshore intends to feed about 520 million cf/d of the additional produced gas into Adnoc Group’s sales gas grid.

Adnoc Offshore is understood to have issued the main EPC tender for the Umm Shaif Gas Cap and surface pressure boosting project in the first quarter of 2025.

Contractors submitted technical bids for the three EPC packages by 30 October last year, while commercial bids were submitted by the 2 February deadline.

The following contractors are among those understood to be bidding for the three EPC packages, according to sources:

Offshore package 1:

  • Saipem (Italy) / Seatrium (Singapore)
  • L&TEH (India) / Lamprell (Saudi Arabia/UAE)
  • NMDC Energy (UAE) / Hyundai Heavy Industries (South Korea)

Offshore package 2:

  • China Offshore Oil Engineering Company (China)
  • McDermott (US)
  • L&TEH (India) / Lamprell (Saudi Arabia/UAE)
  • NMDC Energy (UAE) / Hyundai Heavy Industries (South Korea)

Onshore package:

  • Archirodon (Greece)
  • China Petroleum Engineering & Construction Company (China)
  • Engineering for the Petroleum & Process Industries (Egypt)
  • Galfar Emirates (UAE branch of Oman’s Galfar Engineering & Construction)
  • Target Engineering Construction Company (UAE)

Australian firm Worley has performed front-end engineering and design (feed) work on the project.

Umm Shaif gas production

Adnoc Offshore operates the Umm Shaif hydrocarbons development, which is located 150km northwest of the city of Abu Dhabi. The field is located in Abu Dhabi’s offshore Umm Shaif and Nasr hydrocarbons concession, previously operated by former Adnoc Group companies Adma-Opco and Zadco.

In March and April 2018, Abu Dhabi’s Supreme Council for Financial and Economic Affairs awarded a 10% stake in the Umm Shaif and Nasr offshore block to Eni, 20% to TotalEnergies and 10% to CNPC. Adnoc Group retained the majority 60% interest. The operators produce a total of about 460,000 b/d of oil from the Umm Shaif and Nasr block.

Gas is produced from the Umm Shaif Khuff and Uweinat reservoirs, as well as from the Arab C and Arab D Early Production Scheme 2. The Umm Shaif Khuff reservoir is a formation that consists of dry gas volumetric reservoirs located in the Umm Shaif field.

Khuff reservoirs have been in production in Abu Dhabi since August 1989. Umm Shaif Khuff gas is currently produced from 28 active wells within the Umm Shaif field. A majority of these wells supply gas to Adnoc Group subsidiaries Adnoc LNG and Adnoc Gas Processing, with the rest supporting oil reservoirs at the Umm Shaif field through gas injection.

The Umm Shaif Super Complex (USSC) processes and transports oil, condensates and natural gas in separate pipelines to Das Island for further processing and export. The condensates collected from the USSC are transported to Das Island through an 18-inch pipeline stretching 34.4km, or are spiked into the 36-inch Adnoc main oil line.

The gas collected from the USSC is transported to Das Island through two 46-inch pipelines, which also run 34.4km.

Pressure at the Umm Shaif Khuff gas reservoirs will start to decline by the end of 2028. The flowing wellhead pressures at some of the Khuff gas wellhead towers are likely to reduce, so boosting well deliverability and increasing the flowrates is necessary.

Therefore, new Khuff surface pressure boosting facilities are required to maintain the plateau – with a goal of achieving a 90% gas recovery factor – and increase production beyond the end of the plateau by lowering pressure at the Khuff reservoirs.

Project tendering exercise

Adnoc Offshore has been working to advance the Umm Shaif Gas Cap project since at least 2019 and has experimented with several project execution models.

According to the original schedule, the project was due to be commissioned in 2023, but progress slowed down, primarily due to the Covid-19 pandemic.

Adnoc Offshore launched a feed-to-EPCI competition for the project in May 2019 and selected the following three entities based on their feed submissions:

  • McDermott (US)
  • National Petroleum Construction Company (UAE; now NMDC Energy) / TechnipFMC (France)
  • Saipem (Italy) / Petrofac (UK)

Technical bids for the EPCI works on the estimated $1.5bn project were submitted in January 2020 and commercial bids were submitted by August of that year.

The Saipem/Petrofac consortium emerged as the lowest bidder for the project in September 2020, MEED reported.

Petrofac is understood to have ultimately withdrawn from the consortium and was replaced by state-owned China Petroleum Engineering & Construction Company (CPECC).

In 2022, the Saipem/CPECC consortium was understood to be the sole remaining bidder for the Umm Shaif Gas Cap project. Adnoc Offshore engaged the consortium for a revised feed exercise and subsequently received commercial offers on a single-source basis.

In 2023, Adnoc Offshore cancelled the tendering process for the project and later decided to proceed with a conventional EPC-based project execution model.

The operator then appointed Worley to undertake feed works on the renewed Umm Shaif Gas Cap project in 2024. Worley has a legacy of involvement in the Umm Shaif hydrocarbons development.

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