Adnoc taps McDermott for Fujairah LNG export terminal

Abu Dhabi National Oil Company (Adnoc) has appointed Houston-headquartered engineering firm McDermott as the design contractor for its liquefied natural gas (LNG) export plant in Fujairah.

The project, which comprises two 4.8 mtpa LNG trains, is expected to increase Adnoc’s LNG production capacity by 9.6 mtpa, as it responds to the growing global demand for natural gas. Adnoc LNG, a subsidiary of Adnoc in which it holds around 70% stake, already produces about 6 mtpa of LNG from its facilities on Das Island off the coast of Abu Dhabi.

The Fujairah LNG terminal is seen as the UAE’s next step towards becoming a major regional LNG exporter, thus competing with its neighbour and top LNG exporter, Qatar. Last month, Adnoc’s shipping unit, Adnoc L&S, also ordered two 175,000 cu m LNG carriers in China for delivery in 2025.

According to Adnoc, the new terminal is set to become one of the world’s lowest carbon intensity LNG production facilities. The design stage is expected to be followed by the award of an engineering, procurement, and construction (EPC) contract in 2023.