Abu Dhabi: IPIC awards US$460 million contracts
The Abu Dhabi-based International Investment Company IPIC said Monday it had awarded contracts worth US$460 million to three companies to supply pipes for a domestic crude oil export pipieline connecting Abu Dhabi and Fujairah.
IPIC split the contract for a total of 225 thousand tons of coated steel pipes between Sumitomo of Japan, Salzgitter Mannesmann International of Germany and Jindal Group of India, WAM reported. First delivery of the pipe will be in July 2008 and the whole contract will be completed in January 2009.
Abu Dhabi intends to construct the 360-kilomter pipeline to transport up to 1.5 million barrels a day from Habshan oil fields to Fujairah to bypass the Strait of Hormuz through which Gulf producers ship crude oil exports.
The International Petroleum Investment Company (IPIC) is the Abu Dhabi state enterprise which is responsible for all foreign investments in the oil and chemicals sector. It is supervised by the Supreme Petroleum Council of Abu Dhabi which oversees the United Arab Emirates' oil and gas operations and related industries.