Works on the second package entail the installation of two offshore gas compression platforms and bridge links. A contract award is expected by the end of January.

Companies bidding on the scheme are Abu Dhabi-based Gulf Piping Company, with the local Petrochemical Industries Erection & Construction Company; South Korea’s Hyundai Heavy Industries Company, with Iran Shipbuilding & Offshore Industrial Company (ISOICO); Italy’s Saipem, with Iranian Offshore Engineering & Construction; and India’s Larsen & Toubro, with the local PetroPart.

The estimated $1,000 million Kharg development comprises three bid packages, two offshore and one onshore.

Four groups of companies submitted bids by the mid-November deadline for the first offshore package.

Tender documents for the onshore package were released on 15 December. The contract calls for the construction of gas-gathering stations, two NGL recovery plants, pipelines and storage and export facilities. It is understood that at least seven companies have been prequalified to bid for the contract.

The Kharg gas-gathering network will have a total capacity of about 600 million cubic feet a day.