North East Bab expansion has emerged as a major onshore construction opportunity as contractors target a $1.2 billion development in Abu Dhabi. The project supports ADNOC Onshore’s wider program to sustain production from the Rumaitha and Shanayel fields. It also forms part of ADNOC Group’s strategy to achieve 5 million barrels per day by 2027.
The development covers new on-plot and off-plot facilities across the North East Bab cluster. The cluster includes Al-Nouf, Rumaitha and Shanayel fields. These assets cover more than 1,400 square kilometers within ADNOC Onshore’s wider concession area.
The latest tender activity highlights growing contractor interest in Abu Dhabi’s upstream construction market. ADNOC Onshore issued the main EPC tender for the Rumaitha and Shanayel facilities on June 19, 2026. Contractors then prepared technical bids for the package.
North East Bab expansion targets 45,000 barrels daily
The project will enhance and sustain production at Rumaitha and Shanayel at 45,000 barrels per day. Consequently, the construction program will strengthen infrastructure supporting ADNOC’s production targets.
The scope includes a new oil train with slug catching, separation, desalting and crude stabilization systems. It also includes crude heating equipment, exchangers, utilities and associated civil works.
Additionally, the project includes produced-water treatment facilities. These facilities will support 100% produced-water reinjection through chemical dosing, tanks, pumps and control systems.
The development also requires a new water-injection system. This system will include injection pumps, headers, chemical dosing equipment, power systems and controls.
Gas handling and export infrastructure will also form part of the construction program. Therefore, the project will create a broader surface infrastructure network around the producing fields.
The North East Bab asset remains strategically important to ADNOC Onshore. The company operates four major assets across Abu Dhabi, including Bab, North East Bab, Bu Hasa and South East. Its operations currently provide 4.85 million barrels per day of oil capacity.
North East Bab expansion changes execution strategy
ADNOC Onshore changed its contracting strategy before launching the latest tender. The operator previously pursued separate EPC management approaches for the North East Bab facilities.
ADNOC Onshore awarded China Petroleum Engineering & Construction Corporation an EPCm contract in October 2024. However, the operator later cancelled that arrangement. It also cancelled a separate EPCm tender for on-plot facilities during 2025.
The operator now intends to execute the facilities through a conventional EPC model. This approach could give the successful contractor greater responsibility for integrated delivery.
Meanwhile, the broader Bab and North East Bab tie-in program carries an estimated $1.2 billion value. The wider scheme includes multiple well, manifold, pipeline and injection packages.
The project also supports ADNOC’s Accelerated Integrated Program 5. That program targets an oil production capacity of 5 million barrels per day by 2027.
The current development therefore represents more than a field upgrade. It creates a substantial construction pipeline involving process facilities, pipelines, utilities and production infrastructure.
North East Bab expansion strengthens Abu Dhabi construction pipeline
The project follows several major ADNOC onshore developments that have attracted international EPC contractors. Earlier North East Bab work involved major engineering and construction packages across Rumaitha, Shanayel and Al-Dabbiya.
Contractors with established ADNOC experience include Petrofac and ENPPI. Both companies also feature prominently in ADNOC’s wider EPC contracting market.
The latest tender could therefore deepen competition for major Abu Dhabi oilfield construction work. More importantly, it demonstrates ADNOC’s continued investment in onshore production infrastructure.
ADNOC’s upstream construction drive also extends offshore, with the Umm Shaif Gas Project receiving a contract worth more than $1 billion. McDermott will deliver Package 4, covering a new pressure boosting facility, offshore jacket and topside. The development forms part of ADNOC’s wider $6.2 billion gas investment program.
Also read: Dorra Gas Field: Técnicas Secures $1.6bn Onshore Construction Deal across Saudi-Kuwait Neutral Zone
Project Fact Sheet
Name: North East Bab expansion
Location: Abu Dhabi, United Arab Emirates
Asset: North East Bab
Fields: Al-Nouf, Rumaitha and Shanayel
Project value: Approximately $1.2 billion
Contract model: Engineering, Procurement and Construction (EPC)
Production target: 45,000 barrels per day
Main facilities: On-plot and off-plot production infrastructure
Processing facilities: Oil train, separation, desalting and stabilization
Water infrastructure: Produced-water treatment and water injection
Gas infrastructure: Gas handling and export systems
Program: Accelerated Integrated Program 5
Strategic target: 5 million barrels per day by 2027
Tender issued: June 19, 2026
Planned award: October 2026
Planned completion: May 2029
Project Team
Owner: ADNOC Group.
Operator: ADNOC Onshore.
Potential contractors:
Previous EPCm contractor: China Petroleum Engineering & Construction Corporation (CPECC).
Leave a Reply