| BP-Sonatrach award JGC-KBR In Amenas EPC gas project | |
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By OGJ editors | |
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HOUSTON, Oct. 31 -- BP PLC and Algerian state-owned oil and gas firm Sonatrach have awarded a $745 million contract to JGC-KBR for the engineering, procurement, and construction of In Amenas natural gas development project facilities, infrastructure, and pipeline systems in southern Algeria. JGC-KBR is a 50:50 joint venture of JGC Corp. of Yokohama, Japan, and KBR (Kellogg Brown & Root), Houston, the engineering and construction unit of Halliburton. | |
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Under terms of a 20-year agreement signed in 1998, Sonatrach and Amoco Algeria Petroleum Co. (now part of BP) agreed jointly to develop In Amenas (OGJ, July 6, 1998, p. 42). Amoco at the time agreed to invest $900 million over the life of the project, to drill 80 wells, and to construct a 100 km pipeline and a 700 MMcfd gas treatment plant. | |
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The In Amenas gas development is expected to deliver gas in 2005. The project includes development of four production fields covering an area of more than 2,750 sq km. The first phase is the development of Tiguentourine gas field 40 km southwest of In Amenas. | |
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The EPC contract will involve gas processing facilities, product pipelines, and basic infrastructure such as roads, accommodations, and offices. Pipeline-grade gas, LPG, and condensate products will be piped some 110 km for delivery to Sonatrach's pipeline grid at Ohanet. | |
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An integrated JGC-KBR team will perform engineering from London. Expected project duration, from beginning to performance testing, is about 3 years, KBR said. | |