Recon will be responsible for the engineering design services and technical support to the procurement, construction, commissioning activities
China’s oil and gas field service company Recon Technology has secured a $2.8m engineering and construction service subcontract for a heavy oil transportation system in Garraf oilfield.
The subcontract was awarded by engineering, procurement and commissioning services provider, Grand Energy Development.
Under the contract, Recon will be responsible for the engineering design services, and technical support to the procurement, construction, commissioning activities.
The firm will also provide the training services of the heavy oil transportation system project.
Located in the province of Thi Qar, Iraq, around 5km north-west of Al-Refaei city and 85km north of Nasiriya city, the Garraf oilfield is 17.5km long and 5.5km wide.
Garraf oilfield is estimated to hold 1.3 billion barrels of oil reserves
Recon co-founder and CEO Shenping Yin said: “With advanced technique and wide experiences in the automation and digitalization of oil and gas industry, Recon has a relatively competitive advantage in the engineering design and construction businesses in oilfield segment.
“With the successful completion of the project, we expect to construct more oilfield projects and hope to help more oilfields reduce costs and maintain yields at a healthy level in the near future.”
The Garraf oilfield is estimated to hold 1.3 billion barrels of oil reserves.
The oilfield is undergoing further development in stages, based on the Final Development Plan approved from the Government of Iraq in 2018.
It is estimated to achieve crude oil production of approximately 230,000 barrels per day by the end of the year.
A heavy oil pipeline with a total intended capacity of 275,000 barrels per day will be constructed to support the Garraf production target.
Recon in engaged in supplying China’s largest oil exploration companies with advanced automated technologies, gathering and transportation equipment and reservoir stimulation measures.
The measures are intended for increasing petroleum extraction levels, reducing impurities and lowering production costs.