Read the September 2024 MEED Business Review

4 September 2024

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Electric vehicle (EV) adoption in the GCC is accelerating. The number of EVs on Dubai's roads rose 72% between year-end 2022 and the end of 2023, suggesting that the city's obsession with fast and expensive sports cars and fuel-inefficient four-by-fours could soon be just a speck in the rearview mirror.

The September issue of MEED Business Review looks at the future of EVs in the GCC and finds that the region is on the cusp of an EV production boom. 

As governments around the region drive forward their sustainable transport policies in line with their goals of reducing carbon emissions and transitioning away from fossil fuels, cohesive policies will prove key to smoothing out what has so far been a bumpy road for hybrid and electric vehicles.

This support for greener transportation options, combined with energy and economic diversification programmes and ambitious industrialisation plans, has also spurred major investments in EV production. As of July, in Saudi Arabia and the UAE planned projects related to the construction of manufacturing and assembly plants for hydrogen-powered and EVs have a total combined capacity of close to 400,000 vehicles a year.

In MEED's latest issue, we also delve into the downstream sector, where China is expected to lead the increasing global demand for liquefied natural gas (LNG) in the coming decade and hydrocarbons producers in the GCC have committed billions of dollars to rapidly expand their LNG production capacities.

Meanwhile, this month's exclusive 15-page market report highlights Kuwait, where prospects are taking a positive turn as the fiscal deficit is pushing the country towards reforms and the suspension of parliament looks set to ignite the projects market.

In addition, our latest issue is packed with insight and analysis. The team assesses the outlook for the project to expand production facilities at Iraq's Khor Mor gas field and discovers how security concerns are threatening the prospects of Libya's oil sector.

This month's issue also features a round-up of the top 15 stadiums being built or refurbished in Saudi Arabia in preparation for the kingdom's hosting of football’s Fifa World Cup 2034. We also examine how communication gaps are hindering Saudi gigaprojects and find out what the region can do to successfully navigate the impact of digital currencies on foreign exchange markets.

What's more, the September issue includes an interview with Diriyah Company’s chief development officer, Mohammed Saad, about legacy building at the Saudi gigaproject.

We hope our valued subscribers enjoy the September 2024 issue of MEED Business Review. 

 

Must-read sections in the September 2024 issue of MEED Business Review include:

> AGENDA: 
> GCC ponders electric future
> Region on the cusp of EV production boom

> CURRENT AFFAIRS:
> Outlook uncertain for Iraq gas expansion project
> Security concerns threaten outlook for Libyan oil sector

INDUSTRY REPORT:
Analysis of the outlook for the downstream sector
> Global LNG demand set for steady growth
> Region advances LNG projects with pace

> SAUDI GIGAPROJECTS: Communication gaps hinder Saudi gigaprojects

> INTERVIEW: Legacy building at Diriyah

> SAUDI STADIUMS: Top 15 Saudi stadium projects

> LEADERSHIP: Navigating the impact of digital currencies on forex markets

> KUWAIT MARKET REPORT: 

> COMMENT: Kuwait’s prospects take positive turn
> GOVERNMENT: Kuwait navigates unchartered political territory
> ECONOMY: Fiscal deficit pushes Kuwait towards reforms
> BANKING: Kuwaiti banks hunt for growth 
> OIL & GAS: 
Kuwait oil project activity doubles
> POWER & WATER: Kuwait utilities battle uncertainty
> CONSTRUCTION: Kuwait construction sector turns corner

> MEED COMMENTS: 
> Saudi World Cup bid bucks global trend for sporting events
> Finance deals reflect China’s role in delivering Vision 2030

> Harris-Walz portents shift in US policy on Gaza
> Aramco increases spending despite drop in profits

> GULF PROJECTS INDEX: UAE leads slight dip in market

> JULY 2024 CONTRACTS: Saudi Arabia boosts regional total again

> ECONOMIC DATA: Data drives regional projects

> OPINION: The beginning of the end

> BUSINESS OUTLOOK: Finance, oil and gas, construction, power and water contracts

To see previous issues of MEED Business Review, please click here
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MEED Editorial
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    Adnoc Offshore, a subsidiary of Abu Dhabi National Oil Company (Adnoc Group), is considering an early engagement exercise with contractors for a major project covering the next expansion phase of the Umm Shaif oil and gas field offshore Abu Dhabi.

    The early engagement round with contractors will precede Adnoc Offshore issuing the main tender for engineering, procurement and construction (EPC) works on the Umm Shaif long-term development plan 2.1 (LTDP-2.1) project, according to sources.

    MEED previously reported that Adnoc Offshore completed the expression-of-interest exercise with contractors for the two main EPC packages of the Umm Shaif LTDP-2.1 project in June this year.

    The project’s primary objective is to maintain Umm Shaif’s oil production capacity at approximately 390,000 barrels a day (b/d), while enabling peak output of up to 430,000 b/d.

    The project includes the construction of a new combined artificial island at Umm Shaif, equipped with drilling, processing, utilities and supporting infrastructure. It also encompasses the installation of an optimised crude-stabilisation train at Adnoc’s existing Das Island facilities.

    Located about 150 kilometres northwest of Abu Dhabi city, Umm Shaif is one of Adnoc’s oldest offshore oil-producing assets. In 2022, the company marked the 60th anniversary of the UAE’s first export of Umm Shaif crude, which took place in July 1962.

    Umm Shaif sits within Abu Dhabi’s offshore Umm Shaif and Nasr hydrocarbons concession, which was previously operated by former Adnoc Group companies Adma-Opco and Zadco.

    Between March and April 2018, Adnoc awarded a 10% stake in the Umm Shaif and Nasr offshore block to Italy’s Eni, 20% to France’s TotalEnergies and 10% to China National Petroleum Corporation. Adnoc retained the majority 60% interest.

    The operators produce about 460,000 b/d of oil from the Umm Shaif and Nasr block.

    Project scope of work

    Adnoc Offshore has divided the EPC scope of work on the Umm Shaif LTDP-2.1 project into two packages.

    The offshore package covers the construction of three water-injection wellhead towers, an electrical submersible pump wellhead tower, a riser platform, a manifold tower, two flare towers, offshore bridges and supporting bridge structures. Additional offshore works include the installation of well fluid flowlines, a main oil pipeline, water injection pipelines, gas export lines and subsea cable systems.

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    Australia-headquartered Worley has performed front-end engineering and design (feed) work on the Umm Shaif LTDP-2.1 project.

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    In January 2022, Adnoc Offshore awarded a $946m contract to Abu Dhabi-based NMDC Energy (then known as National Petroleum Construction Company) to carry out EPC works on the first phase of the long-term development plan to sustain output from Umm Shaif, known as the Umm Shaif LTDP-1 project.

    The main objectives of the Umm Shaif LTDP-1 project are to maintain Umm Shaif’s 275,000 b/d crude oil production capacity, increase efficiencies and enhance the field’s long-term output potential.

    EPC works on the first phase of the Umm Shaif LTDP programme were completed in 2024, according to information obtained by regional projects tracker MEED Projects.

    Adnoc Offshore then initiated work on the second expansion phase of the long-term development plan for the Umm Shaif offshore oil field in Abu Dhabi (Umm Shaif LTDP-2), awarding US-headquartered McDermott International the main EPC contract on the project in 2024.

    The value of the contract for the Umm Shaif LTDP-2 project, which is also known as the Umm Shaif accelerated development, is understood to be $2bn. McDermott held a steel-cutting ceremony for the project on 25 May last year at its fabrication yard in Jebel Ali, Dubai.

    The core objective of the project is to increase the Umm Shaif oil field’s output from about 275,000 b/d at present to 390,000 b/d by 2027, and to sustain that level of production until at least 2036.

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  • QatarEnergy and local partner win seven Brazil offshore blocks

    20 October 2026

    QatarEnergy, in a consortium with Brazil’s state energy producer, Petrobras, has won seven offshore exploration blocks in a concession licensing round organised by Brazil’s National Agency of Petroleum, Natural Gas and Biofuels (ANP).

    The exploration blocks ANP awarded in the 6th concession open-acreage bid round are CE-M-471, CE-M-473, CE-M-475, CE-M-477, CE-M-537, CE-M-539 and CE-M-665. The blocks are located in the Ceara Basin along Brazil’s northeastern Equatorial Margin.

    QatarEnergy will hold a 30% participating interest, with Petrobras holding the majority 70% stake.

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    “The concession contracts further strengthen and expand QatarEnergy’s upstream position in Brazil and are expected to be signed in the first half of 2027,” the state energy enterprise said in a statement.

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  • Eni completes $1bn Libya gas project

    20 October 2026

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    Libya’s Mellitah Oil & Gas Company, a joint venture of Libya’s National Oil Corporation (NOC) and Italian oil and gas company Eni, has achieved mechanical completion on its Bouri gas utilisation project (GUP).

    In a statement, Eni said that start-up procedures are currently under way, enabling the recovery of associated gas produced from the Bouri field, which is located in Libya’s western offshore area.

    The main contract for the project, worth $1bn, was awarded to Italy’s Saipem in August 2023.

    The project involved the construction and installation of the new Bouri gas recovery module and related tie-in infrastructure that enables the recovery and treatment of gas that was previously flared.

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    Eni said: “The start-up of the Bouri GUP confirms the joint commitment of Eni and NOC to the development of Libya’s energy sector through initiatives that combine production growth, operational efficiency and environmental stewardship.

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    The first development phase, costing nearly $2bn, was completed in 1990.

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  • Diriyah Company tenders East Wadi bridge

    20 October 2026

     

    Saudi Arabia’s Diriyah Company has invited contractors to bid on the construction of the DG II East Wadi Bridge, a key crossing within Riyadh’s Diriyah master development.  

    The bridge will provide an arterial road connection linking the Diriyah Gate Phase 2 (DG II) Infrastructure Package 1 and Package 2 zones.  

    The project scope involves the construction of a 100-metre clear-span, 44-metre-wide, single-span post-tensioned concrete bridge structure with integrated abutments and four architectural towers.  

    The contract also encompasses approach slabs, access roads, pavements, associated earthworks, architectural finishes and cladding, mechanical, electrical and plumbing installations, utility interfaces, bridge parapets, vehicle restraint systems, waterproofing, testing and commissioning, and associated temporary works.  

    The client will supply the detailed engineering design, and the selected contractor will develop the construction methodology.

    Diriyah Company issued the prequalification tender on 14 September, with submissions due by 10 December.

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