11 June 2015
Petrofac awarded engineering and procurement contract in Oman
Petrofac has been awarded an engineering and procurement contract by Petroleum Development Oman (PDO) to provide services for its Yibal Khuff project, a field located approximately 350 km south west of Muscat in the Sultanate of Oman.
Under the terms of the four and a half year contract Petrofac will be providing reimbursable detailed engineering, and construction and commissioning management support services and procurement on an incentivised pass-through basis. This will extend throughout construction and during start-up of the integrated oil and sour gas facility.
The total contract value is expected to be around US$ 900 million with around one-quarter of the revenues relating to professional services (engineering, construction and commissioning management).
Development of the field will add to PDO’s future oil production whilst the associated gas will be utilised for power generation and enhanced oil recovery developments.
Craig Muir, Managing Director for Petrofac’s Engineering & Consulting Services business commented: “This contract builds on the Rabab Harweel Integrated Project which we are already executing alongside PDO and represents a further milestone in the development of our EPCm delivery strategy. Furthermore it reinforces our presence in Oman where we have a number of ongoing projects and a local engineering office, and where this project will further complement our agenda for increasing in country value. We will continue to maintain a strong focus on this aspect of our delivery by accessing the local supply chain and recruitment of local resources and we are very much looking forward to growing and strengthening the team working alongside PDO to deliver this project.”