Petrofac wins $800m contract for BP's Khazzan Phase 2 in Oman
The deal follows the $1.4bn Phase 1 CPF Khazzan project's contract, awarded to Petrofac in February 2014
Petrofac announced it has been awarded a lump-sum contract worth approximately $800m (OMR308m) by BP for the Phase 2 central processing facility (CPF) it is building at the Khazzan Phase 2 (Ghazeer) gas development in Oman.
The deal follows the $1.4bn (OMR539m) Phase 1 CPF Khazzan project's contract, awarded to Petrofac in February 2014.
The project comprises the addition of a third gas train with a capacity for nominally handling 500 million standard cubic feet of gas per day (mmscfd), which will help drive increased total production capacity from the CPF to 1,500mmscfd.
The engineering, procurement, construction, and commissioning (EPCC) scope of work also includes liquid and compression trains and associated infrastructure, as well as brownfield work associated with connecting the Phase 1 and 2 facilities.
Commenting on the contract, Ayman Asfari, Petrofac's group chief executive officer, said: "Petrofac has executed a large number of projects for BP across many aspects of our business and we are delighted to be supporting them on the next phase of this pioneering project in Oman.
"We have a very strong record for project execution in Oman and as part of this have delivered significant in-country value (ICV)."
BP Oman is lead partner in the Khazzan project with a 60% interest, and Oman Oil Company Exploration and Production holds 40%.