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Dolphin Energy Appoints Emarat To Operate And Maintain Its New Al Ain – Fujairah Pipeline

Source: 1/17/2004, Location: Middle East

First Dolphin Energy Project will Supply Omani Gas to UWEC Power & Desalination Plant on East Coast. Abu Dhabi, January 17, 2004 – Dolphin Energy Limited today announced the appointment of Emirates General Petroleum Corporation (Emarat) to undertake Operations & Maintenance (O & M) for its new Al Ain to Fujairah natural gas pipeline. Emarat will manage the O & M for a period of two years, with a one year option to extend.

The contractual agreement follows a Memorandum of Understanding signed between the two organizations in Abu Dhabi on September 30, 2003.

Dolphin Energy’s 24-inch, 182-kilometer long Al Ain to Fujairah pipeline was completed last month. It is currently undergoing final testing, and will be commissioned during January 2004.

The pipeline will initially transport Dolphin natural gas, sourced from Oman, to the new Union Water and Electricity (UWEC) power and desalination plant on the UAE East Coast. Dolphin’s long-term gas supplies from Qatar will become available in subsequent years.

The contractual agreement was signed in Abu Dhabi by Dolphin Energy CEO, Ahmed Ali Al Sayegh, and the GM of Emarat, Rashid Hamad Al Shamsi.

Mr Al Sayegh said on the occasion: “This agreement allows Dolphin Energy to benefit from the expertise and skills of Emarat engineers in operating national gas distribution networks over many years.

"It also lays the groundwork for potential cooperation between Dolphin and Emarat on future strategic joint ventures."

For Emarat, Mr Al Shamsi commented: "This contract award marks the first time that Emarat operates and maintains a pipeline on behalf of a third party. We also welcome it as the first step in what we hope will be a long association with Dolphin."

Emarat, which is wholly owned by the UAE Federal Government, currently operates 360 kilometers of underground gas pipelines – supplying customers throughout the five Northern Emirates from Sajaa Gas Compression Center in Sharjah and its associated gas fields.

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