Dana Gas, Emarat Sign Agreement for Gas project

Source: www.gulfoilandgas.com 1/4/2006, Location: Middle East

Dana Gas, through its wholly-owned pipeline subsidiary United Gas Transmissions Company (UGTC), has entered into an agreement with Emirates General Petroleum Corporation (Emarat) to build, own and operate a 30 km, 48 inch, common-user gas pipeline from the Sharjah gas hub at Sajaa to the Hamriyah Free Zone (HFZ).

The Agreement was signed at the head offices of Hamriyah Free Zone in the presence of His Highness Sheikh Sultan bin Mohammed bin Sultan Al-Qasimi, Crown Prince of Sharjah and Chairman of Sharjah Executive Council, Sheikh Khalid bin Abdullah bin Sultan Al-Qasimi, Chairman of Hamriyah Free Zone, Sheikh Sultan bin Ahmed bin Sultan Al-Qasimi, Deputy-Chairman of Sharjah Petroleum Council, and other officials.

The value of the contract is Dh 670 m, and the gas pipeline will be one of the largest in the UAE, with a design capacity of one billion cubic feet of gas per day (1,000 MMscf/ day). The pipeline is expected to be constructed within one year, for commencement of operations towards the end of 2006.

Dana Gas and Emarat will have a 50-50 partnership in the construction, ownership and operation of the project. The three users of the pipeline, who have entered into the 25 year contract to share its capacity, are the Federal Electricity and Water Authority of the UAE (FEWA), the Sharjah Electricity and Water Authority (SEWA), and the gas marketing company Crescent National Gas Corporation Limited (CNGCL), which is an Affiliate of Dana Gas.

“Through this key agreement, we are delighted to partner with Emarat, an established and experienced gas pipeline operator in the Northern Emirates. We anticipate this to be the beginning of a fruitful relationship of mutual cooperation and benefit, both to the private as well as the public sectors”, said Mr. Hamid Dhiya Jafar, Executive Chairman of Dana Gas.


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Related Categories: General  LNG Carriers  LNG Terminal  Natural Gas Storage  Oil and Gas Pipeline  Oil Storage  Railways  Tank Truck  Tankers 

Related Articles: General  LNG Carriers  LNG Terminal  Natural Gas Storage  Oil and Gas Pipeline  Oil Storage  Railways  Tank Truck  Tankers 


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