Ducab Secures AED 110m Award For Supplying Abu Dhabi Crude Oil Pipeline
Announcement comes as company showcases unique OGP offerings at 14th ADIPEC show in Abu Dhabi, highlighting expansions and new units established in the last year
As the region’s key players from the OGP sector convene in Abu Dhabi this week for the ADIPEC 2010 show, Ducab—one of the leading manufacturers of power & special cables in the Middle East—has announced details of their recent contract win valued at AED 110m from China Petroleum Engineering and Construction Corporation (CPECC) to work on the Abu Dhabi Crude Oil Pipeline (ADCOP). Ducab is working with CPECC in the delivery of low and medium voltage cables as well as instrumentation and control cables for the entirety of CPECC’s EPC responsibilities.
With the UAE keen to offset its reliance on oil terminals in the Arabian Gulf and eliminate risks associated with the strait of Hormuz, the ADCOP project is being put on the fast track with local companies like Ducab ensuring that capacity and delivery schedules are met on a tight deadline. Valued at AED 11.7b in total, ADCOP entails a 370 kilometre pipeline between Habshan and Fujairah, allowing project owners International Petroleum Investment Company (IPIC) to blend crude from various sources in the Middle East at a proposed refinery in Fujairah.
Laith Madi, Manager of Oil, Gas and Petrochemical (OGP) Sector at Ducab, says that the pipeline will include at least six delivery stations spread across the UAE, requiring complex logistical coordination, carrying a load of up to 1.8 million b/d of crude oil once operational.
“Most of the materials Ducab will supply for the ADCOP project will be sourced using resources from our Special Cables Unit in Jebel Ali, which specialized in tailoring products to the OGP industry,” explains Madi. “For a fast track project of this scope, we knew that it would be crucial to have a quick turnaround for delivery times as well as on-ground expertise for the duration of the plan. All of us within the Ducab OGP team are extremely proud to be partnering with CPECC and IPIC over the course of this prestigious development, and our involvement in ADIPEC has been a great opportunity to showcase projects like these to a truly global audience.”
Ducab has showed a renewed focus in the OGP sector during 2010 coupled with an expanded manufacturing capacity announced in late 2009. In the first half of 2010 alone, the company was awarded AED 126m for local OGP contracts, including an AED 75m agreement with Hyundai Engineering & Construction in the development of ADNOC’s Habshan 5 facilities.
“The scope of the ADCOP project has incredible long-term implications for Abu Dhabi, and Ducab has proven time and again their commitment to developing works of such calibre,” says Franz Cerhak, Procurement Executive Manager at CPECC. “As a package, Ducab’s OGP team can provide us with everything that we need on hand, offering extraordinary value both in terms of quality and price.”
Other Ducab OGP projects include partnerships with Italy’s Saipem & Korea’s SK for the ADCO Bab Gas project and the KOC new booster station BS160, as well as ventures with Spain’s Tecnicas and UK’s Petrofac for the ADCO SAS oil field development.
