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Petrofac and Hyundai scoop gas contracts

Saudi Aramco sign deals for the development of the Karan gas field

Petrofac and Hyundai scoop gas contracts
Petrofac and Hyundai scoop gas contracts

Saudi Aramco has signed contracts with Korea’s Hyundai Engineering & Construction and the UK’s Petrofac for the development of the onshore Karan gas field.

The EPC contract for the Karan Gas Facilities package awarded to Hyundai includes building gas processing trains consisting of gas handling, gas sweetening, acid gas enrichment, and supplementary propane refrigeration. The lump sum turn key (LSTK) package also includes the inlet and utilities facilities to support each gas train.

Petrofac has been awarded the EPC contract of the Karan utilities and cogenerations package. This contract includes 47 km of sales gas pipelines. In addition, Petrofac will also upgrade the plant’s process controls, electrical systems and support facilities.

“The signing of these contracts reflects the keenness of Saudi Aramco to meet the market needs of the local gas industry and support the national economy,” said Majed Yousef Al Mugla, executive director of project management at Saudi Aramco.

The Karan gas field is Saudi Aramco’s first offshore nonassociated gas project to be developed, and responds to the growth of domestic demand for gas in Saudi Arabia. The Karan gas project is expected to process 1.8 billion standard cubic feet per day of gas, with the start-up of production scheduled for mid 2011.

“We are delighted to have secured our first project with Saudi Aramco and we hope that this opportunity will enable us to establish a long-term engineering and project management capability in the Kingdom,” said Maroun Semaan, Petrofac’s group chief operating officer.

A full and exclusive interview with Maroun Semaan is in the March issue of Oil & Gas Middle East, and will appear online later this month.

Staff Writer

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