Oilfield services company Petrofac has been awarded an $800million lump-sum contract by BP for Phase 2 of the Khazzan gas development in the Sultanate of Oman.
The contract follows the initial $1.4milion Phase 1 contract awarded to Petrofac in 2014, which celebrated its first gas in September 2017.
The new contract will include the addition of the third gas train which has a reported capacity of nominally handling 500 million standard cubic feet of gas per day.
The scope of work, which comprises Engineering, Procurement, Construction and Commissioning (EPCC), will also include liquid and compression trains.
Ayman Asfari, Petrofac Group chief executive, said: “Petrofac has executed a large number of projects for BP across many aspects of our business and we are delighted to be supporting them on the next phase of this pioneering project in Oman. We have a very strong record for project execution in Oman and as part of this have delivered significant in-country value. We look forward to continuing to demonstrate our commitment to a sustainable and long-term presence in the Sultanate through the safe and timely delivery of this project for BP.”
Bernard Looney, chief executive of Upstream at BP, said: “The successful start of production from Khazzan Phase 1 was a major milestone for BP in 2017. We are now building on this, deepening our partnership with the Sultanate of Oman, as we work towards development of the second phase and this award to Petrofac will continue the relationship that delivered Phase 1.”
BP Oman is lead partner in the Khazzan project with a 60% interest. Oman Oil Company Exploration and Production holds 40%.