Offshore staff
ABU DHABI, UAE – ADNOC and Abu Dhabi National Energy Company PJSC (TAQA) have launched a $3.6-billion strategic project to decarbonize ADNOC’s offshore production operations.
The project will see the development and operation of a first-of-its-kind high-voltage, direct current (HVDC-VSC) subsea transmission system in the Middle East and North Africa (MENA) region. It will connect ADNOC’s offshore production operations to the Abu Dhabi onshore power grid, owned and operated by TAQA’s transmission and distribution companies.
The project will be funded through a special purpose vehicle – a dedicated company that will be jointly owned by ADNOC and TAQA (30% stake each), and a consortium comprised of Korea Electric Power Corp. (KEPCO), Japan’s Kyushu Electric Power Co., and Électricité de France. Led by KEPCO, the consortium will hold a combined 40% stake in the project on a build, own, operate, and transfer basis.
The consortium will develop and operate the transmission system alongside ADNOC and TAQA, with the full project being returned to ADNOC after 35 years of operation. The project is subject to relevant regulatory approvals.
The transmission system will have a total installed capacity of 3.2 GW and comprise two subsea HVDC links and converter stations that will connect to TAQA’s onshore electricity grid – operated by its subsidiary, Abu Dhabi Transmission and Despatch Company (TRANSCO). Construction is expected to begin in 2022 with commercial operation starting in 2025.
