Dubai-based Interglobal Oil Services has been awarded a $74m contract in Iraq for the design and supply of a new gas compressor station at the Ajeel oil field in the north of Iraq.

The deal, tendered by Iraq’s state-owned North Oil Company (NOC), has taken more than three years to be awarded after it was launched in mid-2009.

NOC is the operator of the Ajeel oil field, located about 85 kilometres southwest of Kirkuk producing about 25,000 barrels a day (b/d) of oil. Production facilities at the field include a degassing station capable of handling a 70,000 b/d and 37 million cubic feet a day (cf/d) of natural gas. It also has a compressor station which is used when gas produced at a well does not have sufficient pressure to flow into a transmission or distribution system.

NOC plans to expand the degassing station’s capacity to produce up to 300 million cf/d of associated gas by 2020.

The compressor station will compress gases produced at the Ajeel degassing station and nearby Hamrin field and pump it to the North Gas treatment Plant (NGP) near Kirkuk. It will include two compressor trains, one for low and medium pressure gas and another for high pressure. The compressor turbines will be driven on fuel gas or gas from the Ajeel field.

Interglobal will design, engineer and supply the station, as well as supervising its installation and training NOC staff on operations and maintenance.