meed-logo

line1 line2 line3
SIGN IN / REGISTER

Sabic affiliate gets approval for blue ammonia plant

9 July 2024

Register for MEED's 14-day trial access 

Sabic Agri-Nutrients Company has announced that it has received approval from Saudi Arabia’s Energy Ministry for the allocation of required quantities of feedstock for its planned blue ammonia production facility in the kingdom.

Sabic Agri-Nutrients, in which Saudi Basic Industries Corporation (Sabic) owns the majority 50.1% share, plans to build the low-carbon ammonia plant in Jubail Industrial City, located in Saudi Arabia’s Eastern Province.

This planned blue ammonia plant will be Sabic Agri-Nutrients' sixth manufacturing facility, the company said in a filing with the Saudi Stock Exchange (Tadawul), where its shares are listed.

The proposed complex will have a production capacity of 1.2 million metric tonnes a year of blue ammonia and 1.1 million metric tonnes a year of urea and specialised agri-nutrients.

Sabic Agri-Nutrients will perform the engineering and feasibility studies, and will select technologies that are “the most efficient in energy and feedstock utilisation”, it added in its filing.

ALSO READ: Sipchem gets feedstock approval for blue ammonia plant

Formerly Saudi Arabian Fertiliser Company, Sabic Agri-Nutrients was the first petrochemicals company to be established in Saudi Arabia in 1965.

Sabic Agri-Nutrients is one of the leading global fertiliser producers, with a portfolio that includes urea, ammonia, phosphate and other specialised products.

The company has struck several deals with customers worldwide in recent months to supply low-carbon ammonia and urea.

In April last year, Sabic Agri-Nutrients shipped the first independently certified low-carbon ammonia from Saudi Arabia to Japan, where it will be used as fuel for power generation. The ammonia was produced with feedstock from Saudi Aramco, sold by Aramco Trading Company to Fuji Oil Company and transported by Mitsui OSK Lines.

Following that, Sabic Agri-Nutrients shipped a cargo of 5,000 metric tonnes of low-carbon ammonia in May 2023 to a customer in India named Indian Farmers Fertiliser Cooperative.

The company then shipped 5,000 metric tonnes of low-carbon ammonia to Taiwan Fertiliser Company in June 2023.

Sabic Agri-Nutrients’ latest supply order came in July last year when it shipped a 2,700-tonne cargo of low-carbon urea to Ravensdown, a New Zealand farmer-owned agricultural co-operative company.

https://image.digitalinsightresearch.in/uploads/NewsArticle/12070174/main0428.jpg
Indrajit Sen

Register for MEED's guest program now to access this article.

Click here to register
Exclusive from Meed
Related Articles
  • Contractors win construction packages for Egypt’s Ras El-Hekma

    17 August 2026

    Egypt’s Rowad Modern Engineering has announced that it has won new contracts to undertake construction works on two packages at the Ras El-Hekma master development on Egypt’s Mediterranean coast.

    Ras El-Hekma’s master developer, Modon Holding, awarded the contracts.

    The first contract covers construction works for Area 2 of the Wadi Yemm basement. The scope includes constructing multilevel basement structures that will support upcoming developments at the site.

    Rowad Modern Engineering is delivering the project in a joint venture with Lebanon’s Consolidated Contractors Company (CCC).

    The second contract covers substation works, to be delivered in a joint venture with local contractor Elsewedy Electric.

    Wadi Yemm is the first of the 17 planned precincts to move into active delivery. It is a mixed-use cultural and hospitality district, anchored by the Ras El-Hekma Lighthouse and a 10,000-seat amphitheatre, designed to host cultural and entertainment programmes.

    Ras El-Hekma is located on a spur of land on Egypt’s northern Mediterranean coastline, about 240 kilometres west of Alexandria.

    Abu Dhabi-based holding company ADQ appointed Modon Holding as the master developer for the Ras El-Hekma project in 2024. Modon will oversee the overall development, which covers more than 170 million square metres (sq m).

    Modon will develop the first phase of the project, covering 50 million sq m. The remaining 120 million sq m will be developed in partnership with private developers under the supervision of the recently established ADQ subsidiary Ras El-Hekma Urban Development Project Company and Modon.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/18790805/main.jpg
    Yasir Iqbal
  • Dubai tenders stormwater drainage projects

    14 August 2026

    Dubai Municipality has issued three tenders for stormwater and sewerage infrastructure projects serving Hind City, Dubailand and surrounding areas.

    The projects cover drainage networks for Hind 4, connections to the stormwater network in Dubailand and a stormwater trunk line serving Hind 3, Hind 4 and Umm Al-Daman.

    The three tenders were issued through the municipality’s Sewerage and Recycled Water Projects Department.

    All three have bid submission deadlines of 10 September.

    Hind 3 and Hind 4 are two of four zones within Hind City. The Dubai government renamed the Al-Minhad area and surrounding areas as Hind City in 2023. The 83.9-square-kilometre area is served by Emirates Road, Dubai–Al-Ain Road and Jebel Ali–Lehbab Road.

    The DS-316-C1 project covers the construction of sewer and stormwater networks in Hind 4. The stormwater network will include gravity drainage pipelines with diameters of up to 1,600 millimetres (mm), while the sewer network will include pipelines of up to 800mm.

    The TF-24-C1 project will connect developers’ areas in Dubailand to the stormwater network. It includes 18 kilometres (km) of stormwater drainage pipelines with diameters of up to 1,800mm and 3.5km of gravity sewer pipelines with diameters of up to 1,000mm.

    The TF-25-C1 project involves the construction of a 9.2km stormwater trunk line serving Hind 3, Hind 4 and Umm Al-Daman. The trunk line will include gravity drainage pipelines with diameters of up to 2,800mm. It will also serve main roads along its alignment, including sections of Dubai–Al-Ain Road, and is designed to accommodate stormwater flows from part of Emirates Road.

    The projects are intended to strengthen flood resilience and improve the reliability of Dubai’s drainage infrastructure.

    Latest awards

    Dubai has continued to accelerate investment in stormwater infrastructure under the Tasreef programme in recent months.

    In July, MEED exclusively reported that Dubai Municipality had awarded the estimated $100m engineering, procurement and construction contract for the TF-15-C1 package of its Tasreef rainwater drainage network programme to local firm DeTech Contracting.

    The municipality has also recently awarded the TF-15-C2 and DS-204-C1 packages to China State Construction Engineering Corporation and Nael Construction & Contracting, respectively.

    The overall masterplan aims to expand Dubai’s rainwater drainage capacity by 700% by 2033 and serve the emirate for the next century.

    READ THE AUGUST 2026 MEED BUSINESS REVIEW – click here to view PDF

    Saudi Arabia builds for the global stage; Rising uncertainty creates fresh set of challenges in the Maghreb; Gulf banks remain robust in the face of geopolitical tensions.

    Distributed to senior decision-makers in the region and around the world, the August 2026 edition of MEED Business Review includes:

    > MARKET FOCUS: Maghreb fortunes diverge
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/18585485/main.jpg
    Mark Dowdall
  • Construction completed on $8.5bn Neom hydrogen project

    14 August 2026

    Construction work on the $8.5bn Neom Green Hydrogen project at Oxagon in Saudi Arabia has been completed, with the facility entering the commissioning stage ahead of commercial operations targeted for 2027.

    The project is being developed by Neom Green Hydrogen Company (NGHC), a joint venture of Saudi-listed Acwa, US-headquartered industrial gases group Air Products and Neom.

    Acwa's chief financial officer, Abdulhameed Al-Muhaidib, said during the company’s recent H1 2026 earnings call that construction has been completed and commissioning activities are now under way.

    "It’s really more now into commissioning and the target to go into commercial operation next year," he told investors.

    The project is designed to produce up to 600 tonnes a day of green hydrogen, which will be converted into green ammonia for export. It is supported by about 4GW of solar and wind power generation capacity, with the renewable power that is generated being used to produce hydrogen through electrolysis.

    As previously reported by MEED, Air Products is also the exclusive offtaker for green ammonia produced at the facility under a 30-year agreement.

    NGHC said in March that its renewable power generation assets, including the wind and solar farms, and transmission grid, had reached approximately 95% completion.

    India’s Larsen & Toubro (L&T) is the engineering, procurement and construction (EPC) contractor for the project’s renewable energy and transmission and distribution package.

    L&T’s EPC scope includes a 2,200MW solar plant, a 1,370MW wind farm, a 400MW battery energy storage system and a transmission network extending 190 kilometres.

    The project reached financial close in 2023. Once operational, the facility is expected to produce up to 1.2 million tonnes a year of green ammonia for export.

    READ THE AUGUST 2026 MEED BUSINESS REVIEW – click here to view PDF

    Saudi Arabia builds for the global stage; Rising uncertainty creates fresh set of challenges in the Maghreb; Gulf banks remain robust in the face of geopolitical tensions.

    Distributed to senior decision-makers in the region and around the world, the August 2026 edition of MEED Business Review includes:

    > MARKET FOCUS: Maghreb fortunes diverge
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/18567177/main.jpg
    Mark Dowdall
  • Lamprell announces Abu Dhabi offshore project contract

    14 August 2026

     

    Saudi Arabia/UAE-based Lamprell has announced it has won an engineering, procurement, construction and installation (EPCI) contract for a project in Abu Dhabi, for which it will “support the delivery of subsea pipeline infrastructure that will help strengthen 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 having been completed, preparations are under way for the offshore installation phase, Lamprell added, without revealing further details about the project, its client or value of the contract.

    “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.

    READ THE AUGUST 2026 MEED BUSINESS REVIEW – click here to view PDF

    Saudi Arabia builds for the global stage; Rising uncertainty creates fresh set of challenges in the Maghreb; Gulf banks remain robust in the face of geopolitical tensions.

    Distributed to senior decision-makers in the region and around the world, the August 2026 edition of MEED Business Review includes:

    > MARKET FOCUS: Maghreb fortunes diverge
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/18556614/main1931.jpg
    Indrajit Sen
  • Hitachi Energy signs Erbil substations deal

    14 August 2026

    Switzerland-headquartered Hitachi Energy has annnounced it has signed an agreement to supply high-voltage equipment for three 132/33kV substations being developed in Erbil in northern Iraq.

    The substations are being built by Iraqi electrical contractor Hero Company under a ID100bn ($76.3m) contract signed with the Kurdistan Region's Electricity Ministry in May. 

    In a statement, Hitachi said it will act as the main technology provider for the project, which has a combined capacity of 753 megavolt-amperes.

    According to local media reports, the substations will be located in Shamamak, Hasarok and Timar. The ministry said the projects are to be completed within two years.

    Hitachi Energy says it has supplied more than 120 mobile substations and delivered more than 30 transmission substations in Iraq over the past 15 years. It also says it has upgraded assets including Iraq's National Control Centre.

    Iraq’s power and water sector is currently undergoing one of its largest expansion programmes in decades amid chronic electricity and water shortages.

    In 2025, it recorded its largest year of investment on record, with more than $17bn in combined contract awards.

    READ THE AUGUST 2026 MEED BUSINESS REVIEW – click here to view PDF

    Saudi Arabia builds for the global stage; Rising uncertainty creates fresh set of challenges in the Maghreb; Gulf banks remain robust in the face of geopolitical tensions.

    Distributed to senior decision-makers in the region and around the world, the August 2026 edition of MEED Business Review includes:

    > MARKET FOCUS: Maghreb fortunes diverge
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/18548939/main3553.jpg
    Mark Dowdall