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Adnoc selects three contractors for prized deal on USD10 billion-plus offshore megaproject

  • Writer: Ajjay Bhagyakar
    Ajjay Bhagyakar
  • Jul 7
  • 2 min read
Adnoc selects three contractors for prized deal on USD10 billion-plus offshore megaproject
Source: Upstream Online

ADNOC Awards Major Contracts for Landmark Offshore Expansion

The Abu Dhabi National Oil Company (ADNOC) has selected three leading engineering contractors for key packages of its $10 billion-plus Upper Zakum Offshore Expansion Project, one of the largest offshore oil developments currently underway in the Middle East.


The contracts have been awarded to Técnicas Reunidas, NMDC Energy, and the McDermott–Saipem consortium, marking a major milestone in ADNOC's strategy to expand offshore production capacity and strengthen the UAE's position in the global energy market.

One of the World's Largest Offshore Oil Projects

The Upper Zakum oil field, located offshore Abu Dhabi, is among the world's largest producing offshore oil fields. The expansion project is designed to increase production capacity to approximately 1.5 million barrels of oil per day through advanced engineering, artificial island development, and new offshore facilities.

Key Project Highlights

The megaproject includes:

  • 🌊 Investment exceeding $10 billion

  • 🛢️ Expansion of the Upper Zakum offshore field

  • ⚙️ Multiple Engineering, Procurement, Construction & Installation (EPCI) packages

  • 🏗️ Development using advanced offshore and artificial island infrastructure

  • 🚢 Modern production and processing facilities

  • 📈 Target production capacity of 1.5 million barrels per day 

Contractors Selected

The three major contractors chosen for the project include:

  • Técnicas Reunidas – Awarded major EPCI packages.

  • NMDC Energy – Leading offshore construction package.

  • McDermott–Saipem Consortium – Responsible for critical offshore engineering and installation works.

These companies are expected to play a crucial role in delivering one of ADNOC's most strategically important offshore developments, Adnoc selects three contractors for prized deal on USD10 billion-plus offshore megaproject.

Why This Project Matters

The Upper Zakum expansion supports ADNOC's long-term strategy to meet rising global energy demand while modernizing offshore production infrastructure.

The project is expected to:

  • Increase crude oil production capacity

  • Generate thousands of engineering and construction jobs

  • Boost offshore infrastructure development

  • Strengthen the UAE's energy sector

  • Support long-term economic growth and industrial investment

Global Infrastructure Impact

Mega energy projects of this scale have a significant impact beyond the oil and gas industry. They drive demand for:

  • Heavy engineering

  • Marine construction

  • Industrial manufacturing

  • Logistics and shipping

  • Skilled workforce development

  • Technology and infrastructure innovation

The Upper Zakum project reinforces Abu Dhabi's position as one of the world's leading destinations for large-scale infrastructure and energy investments.

Conclusion Adnoc selects three contractors for prized deal on USD10 billion-plus offshore megaproject

ADNOC's selection of three major contractors marks the beginning of the next construction phase for the $10 billion+ Upper Zakum Offshore Expansion Project. Once completed, the development will significantly enhance offshore production capacity while supporting the UAE's long-term energy ambitions and reinforcing its leadership in global energy infrastructure.

Published by: Griha Realty

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