Petrofac News 1700X397
24 March 2014

Petrofac awarded EP contract in Oman

Petrofac, the international service provider to the oil and gas industry, has been awarded an Engineering and Procurement (EP) contract by Petroleum Development Oman (PDO) to provide services for its Rabab Harweel Integrated Project (RHIP) located in the Harweel Cluster of fields in the south of the Sultanate of Oman.  The Contract also includes Construction and Commissioning management support services with Petrofac providing full support to PDO during the construction and start-up phases of the integrated oil and sour gas facility.

The RHIP facility will include sour gas processing facilities and associated gathering and injection systems and export pipelines.  It will handle the production of oil and gas from the Harweel oil reservoirs via Miscible Gas Injection and the production of gas with condensate from the Rabab reservoir through partial recycling of sour gas. The facility will deliver peak export of 4.9 MMsm3/d of sweet gas and 9700 m3/d of condensate in addition to approx. 16 MMsm3/d of high pressure sour injection.

Under the terms of the four and a half year RHIP contract, Petrofac will provide Detailed Engineering and Construction and Commissioning management support services on a reimbursable basis and procurement on an incentivised pass-through basis.  The total contract value is expected to be more than US$1 billion with around one quarter of the revenues relating to professional services (Engineering, Construction and Commissioning management).

Craig Muir, Managing Director for Petrofac’s Engineering & Consulting Services business commented:  “This contract is a key milestone in the development of our EPCm delivery strategy within ECS.  We have a strong track record in Oman with PDO as well as direct Engineering, Procurement and Construction (EPC) experience on the previous Harweel development.  This award also underpins Petrofac’s strategy to enhance service capability in the Middle East; providing added value to our regional customers as well as our onshore and offshore EPC business.  Furthermore, maximising local goods and services wherever we work in the world remains a priority for us and this contract is no exception.  We will maintain a strong focus on this aspect of our delivery by accessing the local supply chain and recruitment of local resources.  We are very much looking forward to building a strong and enduring team working alongside PDO to deliver this project.”