ADNOC announces FID for $6.2-billion Umm Shaif gas cap development project
The Abu Dhabi National Oil Company (ADNOC) has reached FID on the $6.2-billion (AED 22.6-billion) Umm Shaif Gas Cap offshore natural gas development project.
This strategic initiative, pursued with international partners TotalEnergies (20%), Eni (10%), and China National Petroleum Corporation (CNPC, 10%)—with ADNOC holding 60% and operating via ADNOC Offshore—is expected to significantly boost UAE natural gas production and enhance energy security.
Umm Shaif is the country’s longest producing offshore field, coming onstream in 1962. The new development should add more than 600 MMcf/d from the gas cap above the field’s oil reservoirs, while also maximizing condensates recovery.
The integrated development is expected to feature fixed jacket structures typical of the shallow waters of the Arabian Gulf. It is expected to include:
- New offshore wellhead towers: At least two gas production wellhead towers (GP-1 and GP-2) and one gas injection wellhead tower.
- Surface pressure boosting platform: A major new offshore facility with wet gas compressor package, linked by a new bridge to the existing IGD-HAP offshore installation.
- Separation and processing facilities, subsea infrastructure, gas gathering systems, and brownfield modifications to existing platforms.
- Pipelines and export: Subsea pipelines and cables for gathering; dehydrated rich gas will be exported to Das Island via the existing MGL/IGL Pipeline.
- Onshore elements: A new condensate treatment unit (CTU) and tie-ins on Das Island.
The FID encompasses three major EPC packages totaling about $5.1 billion for offshore and onshore infrastructure, plus a $365-million 14-well drilling program delivered by ADNOC Drilling over 18 months using three rigs.
Dr. Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology and ADNOC Managing Director and Group CEO, highlighted the project’s significance: “This investment bolsters UAE energy security, supports growth in energy-intensive industries and AI data centers, and reduces reliance on gas imports. It aligns with ADNOC’s goal of expanding LNG capacity to 47 million tonnes per annum by 2035 amid rising global demand for reliable, lower-carbon energy.”
TotalEnergies confirmed its participation, noting the project’s role in strengthening regional gas supply. First production is expected in 2030.
Why this news matters:
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The Middle East continues to stand out as one of the few offshore regions consistently advancing large-scale projects, making it an increasingly important source of future work for the global offshore supply chain.
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Gas-focused developments are attracting sustained investment because governments increasingly view domestic energy supply as a strategic and economic priority rather than simply a commodity issue.
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For offshore service and technology providers, continued project sanctioning by Middle East NOCs offers a measure of market stability at a time when activity levels remain less predictable in many other offshore basins.
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The project highlights how operators are finding new ways to unlock additional value from mature offshore assets instead of relying solely on frontier discoveries for production growth.
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About the Author
Jeremy Beckman
Editor, Europe
Jeremy Beckman has been Editor Europe, Offshore since 1992. Prior to joining Offshore he was a freelance journalist for eight years, working for a variety of electronics, computing and scientific journals in the UK. He regularly writes news columns on trends and events both in the NW Europe offshore region and globally. He also writes features on developments and technology in exploration and production.
Bruce Beaubouef
Managing Editor
Bruce Beaubouef is Managing Editor for Offshore magazine. In that capacity, he plans and oversees content for the magazine; writes features on technologies and trends for the magazine; writes news updates for the website; creates and moderates topical webinars; and creates videos that focus on offshore oil and gas and renewable energies. Beaubouef has been in the oil and gas trade media for 25 years, starting out as Editor of Hart’s Pipeline Digest in 1998. From there, he went on to serve as Associate Editor for Pipe Line and Gas Industry for Gulf Publishing for four years before rejoining Hart Publications as Editor of PipeLine and Gas Technology in 2003. He joined Offshore magazine as Managing Editor in 2010, at that time owned by PennWell Corp. Beaubouef earned his Ph.D. at the University of Houston in 1997, and his dissertation was published in book form by Texas A&M University Press in September 2007 as The Strategic Petroleum Reserve: U.S. Energy Security and Oil Politics, 1975-2005.