Saudi Aramco has signed a contract with J. Ray McDermott SA to develop and construct platforms and a subsea pipeline at the offshore Karan Gas field.
J. Ray McDermott won the turnkey contract that includes manufacturing and installation of four platforms and the construction of a 110 km subsea pipeline to carry offshore sour gas from the Karan field to be treated and processed at the onshore Khursaniyah Gas Plant.
“J. Ray McDermott has been a consistent contractor for Saudi Aramco over the last 40 years,” said Stewart Mitchell, vice president and general manager for J. Ray’s Middle East and India operation.
“Our first successful collaboration was in 1972, in the Safaniya Field, and most recently with the Long Term Agreement and Maintain Potential projects. We believe that our familiarity with Saudi Aramco’s standards has enabled us to maintain our high ranking in their technical evaluations and our ability to win repeat business is the reward for consistently delivering excellence on Saudi Aramco projects.”
The Karan gas field is Saudi Aramco’s first offshore non-associated 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.
“This most recent award is a significant project, comprising four wellhead complexes each of which has a wellhead platform topside with gas, chemical injection, and controls facilities as well as a bridge connected auxiliary platform, associated flare bridges and stacks. The four wellhead complexes are clustered around a tie-in platform with similar facilities. The project also includes intrafield pipelines as well as 110 Km trunkline to the shore and all subsea power distribution cables,” said Ed Gedeon, J. Ray McDermott’s vice president for Middle East projects.
The offshore work awarded to J. Ray McDermott is in addition to three other contracts for onshore projects awarded earlier to Korea’s Hyundai Engineering & Construction, the UK’s Petrofac, and Korea’s GS Engineering and Construction Co.