GCC Countries Drive $353 Billion in Hydrocarbon Projects, but Postponements and Cancellations Threaten

---

Written by Richard Finlayson, Senior International Editor for Industrial Info Resources (Sugar Land, Texas)--Saudi Arabia is home to more than 60% of the Gulf Cooperation Council's (GCC) total hydrocarbon projects, with planned investments of about $215 billion covering 147 major ventures. The projects are focused heavily on the upstream oil and gas sector, including the massive $20 billion Yanbu integrated refinery and petrochemicals complex, which is currently in the study phase, according to regional investment bank Global Investment House (LSE:GLOB.L) (GIH) (Kuwait). The Jizan refinery is another major project in the pipeline, with an estimated budget of $7 billion.

Although the total value of planned projects in the regional hydrocarbon sector is estimated at $353 billion, project postponements and cancellations continue to plague the market.

Influenced by the benefits flowing from high oil prices, GCC countries are concentrating on expanding their output. The United Arab Emirates (UAE) is planning to put $98 billion into hydrocarbon projects that will involve crude oil capacity expansion and the development of the gas industry, GIH reports. With proven oil reserves of 98 billion barrels, the UAE is looking to hit production of 3 million barrels per day (BBL/d) within two years, and 3.5 million BBL/d by 2015. Current capacity is estimated at 2.7 million BBL/d.

Investments account for nearly 28% of the total capital of about $353 billion approved by the GCC for projects in the oil and gas sector. In the UAE, investments cover 116 major projects.

Tacaamol-Al-Gharbia Chemicals Industrial City, backed by the Abu Dhabi National Chemicals Company, is a project currently in the planning phase with an estimated $20 billion budget, and the $10 billion ZADCO oil field development is in the pipeline. UAE is in a major expansion plan to exploit its massive gas fields, holding a resource of more than 6 trillion cubic meters.

View Project Report - 300015364 300015373 300015382 300015383 300015904 300015908 300015910 300016001 300016004 98500166 98500167 98500168 98500171 200000796 200000800 200000801 200000985 200001546 200001846 200001854 200002964 200002976 200002986 200001137 200001138 200001538 200001539 300024561 300024575

Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, and eight offices outside of North America, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle™, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities.