ABB has been awarded a $175 million contract to upgrade the power generation capacity at Zirku oil and gas processing facilities in the Arabian Gulf.
Zakum Development Company (ZADCO) selected ABB in late 2013 to complete the order, which covers engineering, procurement, construction, installation, pre-commissioning, commissioning and testing of two gas turbine driven generators, step-up transformers, new high-voltage switchgear, power management system and associated facilities. The scope of work includes the delivery of a new substation to house Gas Insulated Switchgear (GIS), and ABB will also provide waste heat recovery units to utilise exhaust gas from the new gas turbines for process heating and subsequently reducing CO2 emissions.
This project will improve the overall energy efficiency and operational flexibility and reliability of the oil and gas processing facility. The goal is to increase the production rate of the Upper Zakum field from 550,000 to 750,000 barrels of oil per day. If this is accomplished, the Zakum field will be the second-largest field in the Gulf and the fourth-largest in the world.
Zirku Island, located 135 kilometers north-west of Abu Dhabi, is considered the main industrial base for the processing, storage and export of oil from the Upper Zakum, Umm Al-Dalkh and Satah fields. With its advanced oil and gas installations, Zirku processes and exports ZADCO's oil via cargo ships to the world markets.
According to Veli-Matti Reinikkala, head of ABB's Process Automation division, the company's deep oil and gas industry knowledge and project execution capabilities were important factors in winning this order.
"With over 50 years of experience and more than 300 EPC projects implemented, ABB is a player of excellence in the oil and gas industry. New oil and gas frontiers require power and automation solutions and ABB has a unique business scope in power, automation and power electronics," said Reinikkala.
Robert Talbot, SVP-Projects for ZADCO said they are looking forward to working with ABB and successfully deliver the project safely and on schedule.
The project is currently in the design stage and is scheduled for completion in June 2016.