Aramco awards $700m Manifa oil and gas deals

14 August 2008
Saudi Aramco is awarding a raft of contracts on its Manifa heavy oil field development, which forms a key plank of the kingdom’s efforts to ramp up crude production over the next three years.

South Korea’s GS Engineering & Construction won a $500m deal for the onshore gas processing package on the 900,000-b/d Manifa increment.

Dutch pipeline firm beat South Korean rivals, including Hyundai Engineering & Construction, Samsung Engineering Company and Daelim Industrial Company, to win the award (MEED 26:2:08).

GS says the gas plant will be capable of processing 90 million cubic feet a day (cf/d) of natural gas and 66,400-b/d of sour condensate.

The South Korean firm, which will carry out the engineering, procurement and construction (EPC) deal on a fixed price contract, expects to complete work by April 2011.

In September 2007, Aramco opted to reissue the qualification notice for the package, delaying it by more than three months after deciding to integrate the gas facilities with the $10bn Karan gas field development (MEED 28:9:07).

The scope of Nacap’s EPC work covers 420 kilometres of oil, gas and water pipelines with pipeline diameters ranging from 24 to 56 inches.

Crude oil will be transported from a central processing plant, to be constructed by Italy’s Snamprogetti, to Juaymah. Associated natural gas will be piped to the Khursaniyah gas plant.

Earlier this year, Snamprogetti, Japan's JGC Corporation and Spain's TR secured the three main EPC deals on the Manifa development (MEED 6:6:08).

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