EL7.AI
GeneralMedium•5 November 2026•
4 min read

Gereh Receives $2.6967 Billion Award Letters for Projects with ADNOC Onshore

Key Facts

1Gereh’s Abu Dhabi unit received 3 award letters, and the formal contracts have not yet been signed.
2The total value stated in the letters is about $2.6967 billion.
3The Ruwais Diyab project is valued at $1.7042 billion, Bab and Northeast Bab at $599.7 million, and Bu Hasa at $392.8 million.
4The Ruwais Diyab value includes $310 million in optional work, and Bu Hasa includes $174 million.

Gereh Group’s oil and gas engineering unit in Abu Dhabi received three award letters from ADNOC Onshore, with a total value of about $2.6967 billion, according to a company disclosure dated November 4, 2026. The letters cover the Ruwais Diyab gas development project and facilities at Bab, Northeast Bab and Bu Hasa. The awards had not become formally signed contracts by the date of the disclosure, which said that signing the final agreements remained uncertain. The value was split between about $1.7042 billion for Ruwais Diyab, $599.7 million for Bab and Northeast Bab facilities, and $392.8 million for Bu Hasa facilities. The largest share of the total is concentrated in the gas project, while the other two projects involve facilities and well tie-in work under different scopes.

The value of Ruwais Diyab includes about $310 million in optional work, while the Bu Hasa value includes $174 million in optional work. The full announced value therefore does not represent confirmed work, as execution of these optional items depends on their activation within the two projects. The Bab and Northeast Bab award letter is valued at about $599.7 million, and the disclosure did not mention optional work within that value. These items distinguish the value stated in the award letters from the scope of the core work described by the company. Gereh said the projects would not have a material impact on its financial position or results in 2026.

The Ruwais Diyab project includes the design, procurement, construction, commissioning, operation and maintenance of field facilities and a pipeline network, according to Gereh’s disclosure. Construction will take 29 months, followed by a basic operating period of 60 months. Under the stated terms, ADNOC Onshore may extend operations for two additional periods, each lasting five years. These timeframes put the project on a path that extends beyond building the facilities to operating and maintaining them after construction is complete. ADNOC announced its final investment decision on the Ruwais Diyab project on November 2, two days before Gereh disclosed the award letter.

ADNOC said the Ruwais Diyab project aims to produce 345 million standard cubic feet per day of raw gas starting in 2029, over 25 years. It added that production could eventually reach 1 billion standard cubic feet per day. This context gives Ruwais Diyab a central position among the three projects in terms of award-letter value, and links it to an announced production plan beginning in 2029. By contrast, the Bab and Bu Hasa projects are tied to phased work orders issued by ADNOC according to field development plans. Gereh said this arrangement involves issuing work orders in batches rather than defining all tasks at once.

The work orders at Bab and Bu Hasa target the connection of new wells to existing infrastructure and work on well facilities. The Bu Hasa scope covers the Bu Hasa, Bida Al Qemzan and Al Huwaila fields, according to the disclosure. The Bab and Northeast Bab project is scheduled to start on November 11, 2026, and will run for 60 months from the effective date of the award letter. The letters set a 90-day period from the start date of the award letter to complete and sign the formal agreements. ADNOC’s 2026 sukuk program disclosure describes Bab as Abu Dhabi’s largest onshore field, producing large volumes of Murban crude and associated and non-associated gas.

In trading, Gereh shares rose by the 10% daily limit in the November 4 session, then closed down 1.9% at 88.27 yuan in the November 5 session, according to Yicai. The closing decline followed a rise in the previous session to 90 yuan, the outlet reported. The projects’ next step remains completion of the formal agreements within the period stated in the letters, while the Bab project is due to start on its specified date in November. For Ruwais Diyab, the targeted production start announced by ADNOC remains 2029. Gereh said the projects would not have a material financial or operational impact on the company’s results in 2026.