Petrofac Bags $800mn Khazzan Phase 2 Contract
Petrofac has been awarded a contract worth about $800mn by BP for the Phase 2 central processing facility (CPF) at the Khazzan Phase 2 (Ghazeer) gas development in Oman, it informed December 12.
The project comprises the addition of a third gas train with a capacity for nominally handling 500mn ft/d of natural gas which will help drive increased total production capacity from the CPF to 1,500mn ft3/d. The engineering, procurement, construction and commissioning (EPCC) scope of work also includes liquid and compression trains and associated infrastructure, as well as brownfield work associated with connecting the Phase 1 and 2 facilities.
The company hasdearlier got the $1.4bn Phase 1 CPF Khazzan project in February 2014, which produced first gas in September this year.
BP Oman is lead partner in the Khazzan project with a 60% interest. Oman Oil Company Exploration & Production holds 40%.
The production sharing agreement for Block 61, which contains the Khazzan field, was first signed in 2007 and was amended in 2013 and extended in 2016. Appraisal over 2007-2013 confirmed the existence of significant tight gas resources that could be developed through the application of BP’s extensive unconventional gas experience and technology. The first phase of development of the field was sanctioned in December 2013.