It has also agreed to purchase a 10 per cent share in the Ebla production sharing contract, currently wholly-owned by PetroCanada, subject to agreement from Damascus.

The Ebla gas plant, which will be located on the Ash Shaer field between Homs and Palmyra, will produce 88 million cubic feet a day of gas, 150 tonnes a day of liquified petroleum gas (LPG) and some condensate.

The gas and condensate will be fed into the Syrian pipeline grid, while the LPG will be transported using tankers.

The two-year contract covers engineering, procurement, commissioning and start-up assistance on the gas plant, as well as pipelines, gas gathering station flow lines, well sites and all associated infrastructure and facilities.

Petro-Canada is the operator on the Ebla production sharing contract and the client for the gas treatment plant.

The contract covers the development and production of natural gas from the Ash Shaer and Cherrife fields. First gas is scheduled for delivery in 2010.