Shah Gas Should Start Production in Mid 2014

Source: Reuters 2/14/2011, Location: Middle East

Production should begin by the middle of 2014 at the Shah gas project being developed by Occidental Petroleum and Abu Dhabi National Oil Company (ADNOC), a senior official said.

Occidental won the contract to participate in the sour gas project earlier this year after U.S. major ConocoPhillips pulled out of the bidding in April last year.

The official said the delay in finding a partner should not affect the start of production.

"We're looking to start production by mid-2014. Oxy's staff is visiting and getting onboard," Saif Ahmed al Ghafli, chief executive officer of Abu Dhabi Gas Development Company, told Reuters on the sidelines of a conference.

Occidental is an untested partner for ADNOC, but analysts and industry sources said its bid had been competitive. Ghafli declined to give details of the bid, saying only that it had been favorable.


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