Contractors line up for GTL core contracts

24 February 2006

Contractors submitted revised commercial bids on 14 February for two major mechanical, electrical and instrumentation (MEI) and civils packages covering the core element of the Pearl gas-to-liquids (GTL) project in Ras Laffan. The contracts are worth a total of $500 million. Called MC 1 and MC 2, the contracts cover the main process plant (GTL area) and offsites and utilities (flare area) of the project (MEED 7:10:05). The bidders include Athens-based Consolidated Contractors International Company (CCC), Nasser al-Hajri Corporation of Saudi Arabia, Tekfen and Gama, both of Turkey, Pakistan's Descon Engineering and Dodsal and Al-Jaber Energy Services, both UAE-based.

Prices were originally submitted in late January. However, the client - a team of Japan's JGC Corporation and the US' Kellogg Brown & Root (KBR) - invited fresh bids after reducing the construction period by three months. Under the new proposal, the contracts will take 36 months to complete.

The estimated $6,000 million Pearl GTL project calls for the construction of two 70,000-barrel-a-day trains. The first production unit is due to come on stream in 2009 and the second is scheduled for completion two years later. The JGC/KBR team is providing the engineering, procurement and construction management (EPCM) services for the synthesis core, utilities and infrastructure packages on the complex. A host of other EPC packages are being tendered directly by the Royal Dutch/Shell Group, the developer of Pearl GTL.

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