UAE makes 80trillion scf gas discovery in Abu Dhabi and Dubai

This is the first time ADNOC has explored for hydrocarbon resources in Dubai, with 10 exploration and appraisal wells

Shallow gas, Natural gas, ADNOC, Abu Dhabi, Dubai

The UAE announced the discovery of 80 trillion standard cubic feet (tscf) of shallow gas resources in place in between Saih Al Sidirah and Jebel Ali in the emirates of Abu Dhabi and Dubai respectively. This new discovery reinforces the nation’s goal of achieving gas self-sufficiency, enabling major development projects in preparation for the next 50 years of the union, state news agency WAM reported.

The announcement was made during the signing of a strategic cooperation agreement between the Abu Dhabi National Oil Company (ADNOC) and Dubai Supply Authority (DUSUP) to continue to explore and develop the shallow gas resources in this area as part of a joint project called "Jebel Ali".

The agreement was signed by Sheikh Ahmed bin Saeed Al Maktoum, director-general of DUSUP, and Dr Sultan Ahmed Al Jaber, UAE Minister of State and ADNOC Group CEO.

"We look forward to working closely with ADNOC to further explore gas resources in the area between Abu Dhabi and Dubai as part of diversifying our energy resources," Sheikh Ahmed bin Saeed said. "This collaboration will contribute to raising our long-term energy security, which is crucial to realising our aspirations in a new economic era of growth to be a leader in shaping the future of the region and the world, as well as enhancing the happiness and welfare of our people."

The discovery of the 80 TSCF of shallow gas resources was made within an area of 5,000 sq km between the two emirates with ADNOC drilling more than 10 exploration and appraisal wells, signifying the first time ADNOC has explored for hydrocarbon resources in Dubai.

Al Jaber said: "The discovery of shallow gas resources between Abu Dhabi and Dubai is a result of ADNOC’s drive to implement the leadership’s wise directives to efficiently accelerate the exploration and development of the UAE’s vast untapped hydrocarbon resources and maximise its value for the benefit of the nation. It reinforces ADNOC’s commitment to ensuring a sustainable and economic gas supply and achieving gas self-sufficiency.

"The strategic cooperation agreement between ADNOC and DUSUP is a natural evolution of our shared commitment to harness energy resources in the service of the UAE... We see significant potential in this joint project to create long-term and enduring value for the nation."

ADNOC will deploy its capital, technology, and expertise to develop and produce the resource, and will also conduct further exploration to assess volumes and determine development costs. The gas produced will be supplied to DUSUP to support Dubai’s economic growth ambitions and enhance its energy security.

The discovered reservoir is referred to as ‘shallow gas’, as it contains high-quality organic gas at relatively shallow depths from the earth’s surface. ADNOC will utilise both conventional and unconventional drilling and completion technologies and methods to access this trapped gas, including horizontal drilling and hydraulic fracturing to enable optimal productivity while reducing the number of drilling rigs required.

The announcement comes less than three months after Abu Dhabi’s Supreme Petroleum Council announced increases in hydrocarbon recoverable reserves of 7 billion stock tank barrels of oil and 58 TSCF of conventional gas, moving the UAE from seventh to the sixth position in both global oil and gas reserves rankings with a total of 105 billion STB of recoverable oil, 273 TSCF of conventional gas and 160 TSCF of unconventional gas resources.

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Oil & Gas Middle East - September 2020

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