Fluor signs major Habshan EPC contract

21 October 2005
Abu Dhabi Gas Industries Company (Gasco) announced on 9 October the award of a $999 million contract to the US' Fluor Corporation for the first-phase expansion of the Habshan gas complex. Two companies priced the contract in late July, with the other bidder being Bechtel, also of the US (MEED 22:7:05).

Fluor will be assisted on the 32-month engineering, procurement and construction (EPC) contract by Athens-based Consolidated Contractors International Company (CCC), which will undertake general construction services and have a role in engineering and procurement. The contract will involve the installation of a 360 million-cubic-feet-a-day (cf/d) gas processing train to treat non-associated or associated gas and increasing gas injection capacity to 1,525 million cf/d from 1,100 million cf/d. It will also entail the installation of two sulphur recovery units with a total capacity of 1,600 tonnes a day, acid gas enrichment and gas re-injection, as well as utilities and associated infrastructure and upgrade of the control systems. US-based Foster Wheeleris the project management consultant (PMC).

The gas will be sourced from the onshore Bab and Bu Hasa fields operated by Abu Dhabi Company for Onshore Oil Operations (Adco). The facilities will also process high-pressure gas from Bu Hasa to achieve operational flexibility between Bu Hasa and Habshan.

The Habshan contract marks Fluor's return to the Gulf EPC market and signifies a major strategic shift in its bidding strategy.

Over the past decade, the US engineering contractor has seldom targeted EPC contracts. Its last EPC success came in 2003 on the estimated $100 million ethane recovery maximisation (ERM) project, involving enhanced gas recovery work at the Thamama-F train at Habshan.

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