NPCC banks on Adnoc projects

Abu Dhabi-based oil and gas services contractor National Petroleum Construction Company (NPCC) hopes the launch of a number of big projects in the emirates next year will boost revenue after a flat 2011. "At least four to five mega projects will be launched by Abu Dhabi National Oil Company (Adnoc), with huge packages in billions of dollars and we see opportunities there," chief executive Aqeel Madhi said. The majority state-owned firm has had a difficult 2011, facing stiff competition from price-competitive Asian contractors actively bidding for projects across the Gulf. Next year could be better, with NPCC hoping for Abu Dhabi's backing to win projects in the UAE. It also plans to target projects in Saudi Arabia and India. Adnoc was expected to launch offshore projects as it seeks to boost oil and gas output. Despite winning significantly fewer projects this year, revenue will be flat due to a backlog of projects, Madhi said, adding profit could be hit by lower margins. As competition heats up in its home and neighbouring markets, NPCC is eyeing new markets to widen its operations, said Madhi, citing Angola, Kazakhstan, Iraq, Nigeria and south-east Asia.