EDF invests in $3.6B transmission system project in Middle East

A consortium of Electricité de France SA, Korea Electric Power Corp. and Japan's Kyushu Electric Power Co. Inc. is among the investors of a $3.6 billion project to decarbonize Abu Dhabi National Oil Co.'s offshore production operations.

The Korea Electric Power-led consortium will hold a combined 40% stake in the planned high-voltage, direct-current subsea transmission system, which will connect the offshore operations of Abu Dhabi National Oil, or ADNOC, to the onshore power network of Abu Dhabi National Energy Co. PJSC.

ADNOC and Abu Dhabi National Energy will each own a 30% stake in the project, which is subject to relevant regulatory approvals. The full project will be returned to ADNOC after 35 years, according to a news release.

The transmission project will have a total installed capacity of 3.2 GW. It will replace existing gas turbine generators with more sustainable power sources available on the Abu Dhabi onshore network, reducing the carbon footprint of ADNOC's offshore operations by more than 30%, the companies said.

Construction of the transmission system is expected to begin in 2022, with commercial operation scheduled for 2025.