Abu Dhabi National Oil Company (ADNOC) and Dubai Supply Authority (DUSUP) have signed an agreement to explore and develop the shallow gas resources between Saih Al Sidirah and Jebel Ali under the Jebel Ali Project, following the discovery of 80 trillion standard cubic feet (TSCF) of shallow gas resources.
The shallow gas resources was discovered within an area of 5,000km2 between the two emirates, with ADNOC drilling more than ten exploration and appraisal wells, which marked the first for the Abu Dhabi-headquartered oil giant to have explored for hydrocarbon resources in Dubai.
As part of the agreement, ADNOC in collaboration with DUSUP will deploy capital, technology, and expertise to develop and produce shallow gas resources and conduct further exploration in a bid to evaluate more volumes and secure development costs. Following production the gas will be supplied to DUSUP to support Dubai’s economic growth ambitions.
The agreement was signed by director-general of DUSUP, HH Sheikh Ahmed bin Saeed Al Maktoum, and UAE Minister of State and CEO of ADNOC, Dr. Sultan Ahmed Al Jaber, in the presence of HH Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, and HH Sheikh Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces.
According to Dubai Media Office, the discovery of the Jebel Ali gas field will contribute in achieving UAE's efforts towards gas self-sufficiency. It will also support the next phase of the country's major development projects in line with the strategic development plan for the next 50 years.
Both Sheikh Mohammed bin Rashid and Sheikh Mohamed bin Zayed were briefed on the details of the project, following the signing of the agreement, including the nature of the shallow gas reservoir, the development plan of the project, and the innovative technologies ADNOC’s is leveraging to unlock the UAE’s vast hydrocarbon resources.
Speaking at the signing ceremony, Sheikh Ahmed bin Saeed said: “This partnership enables our organisations to combine each other’s capabilities to capture the greatest possible benefits from the UAE’s hydrocarbon assets.”
Meanwhile, Dr. Al Jaber said: "The discovery of shallow gas resources between Abu Dhabi and Dubai reinforces ADNOC’s commitment to ensuring a sustainable and economic gas supply and achieving gas self-sufficiency."