A Dh1 billion ($272 million) plan for natural gas distribution for commercial and residential purposes via a pipeline network has been initiated in the emirate of Abu Dhabi.

In the first phase, the project will cover
120,000 commercial and residential users
in Abu Dhabi and Al Ain. Adnoc Distribution, a subsidiary of Abu Dhabi National Oil Company (Adnoc), will oversee the project.
International companies are bidding for the front-end engineering and design contract which covers a market survey, engineering and design and related work, said the report.

Along with the contract, a consultant will also be selected. Work on the project is likely to start in the second half of next year.
Adnoc Distribution last year announced a pilot project for use of natural gas by taxis in Abu Dhabi. The natural gas filling station is coming up near Mina Zayed. Work on the project is expected to be completed by year-end.