Petrofac has bagged a contract of about $370m from Iraqi national oil company Basra Oil (BOC) for expansion of the Central Processing Facility (CPF) in the Majnoon Field located in Southern Iraq.
The company will be responsible for the engineering, procurement and construction (EPC) of two oil processing trains, with a processing capacity of 200kbopd. The contract is for 34 months.
Petrofac was previously involved with the Majnoon Field when it was given a contract in 2011 for the EPC management for the execution and completion of the existing CPF.
Petrofac Iraq, Oman and Saudi Arabia engineering & construction group managing director Elie Lahoud said: “We have developed a significant track record in Iraq with enhanced local delivery, successfully providing services both onshore and offshore since 2010.
“This important contract win demonstrates Petrofac’s long-lasting client relationships and our ongoing commitment to extending our operations in this key market that complements our broad service capabilities, international experience and expertise.”
The Majnoon Field is located 60km from Basra and is known to be among the richest oil fields in the world. Discovered in 1975 by a Brazilian company called Braspetro, the Majnoon Field is estimated to hold 38 billion barrels of oil.
In late June, Basra Oil took over operations of the Iraqi oil field from the previous operator Royal Dutch Shell, reported Reuters.
Prior to that in April, the Iraqi oil ministry gave a two-year contract to Anton Oilfield Services and Petrofac to operate the Majnoon Field on behalf of Basra Oil.
In May, American EPC company KBR confirmed winning an EPCM contract from Basra Oil for the development of the Majnoon super-giant oil field.
Under the contract, KBR will be responsible for overall project management and for delivering multi-discipline engineering support, procurement and construction management (EPCM) services to Basra Oil.
The US company’s service contract is for two years which can be extendable for an additional year.