Field operator Eni has awarded an Enhanced Oil Recovery (EOR) contract to Drake and Skull International for work at the Zubair oil field in Iraq.
The US$61 million contract is for EPC work on the construction of a water injection network for the field as well as other work at Zubair.
Under the terms of the agreement, Drake and Scull Oil & Gas (DSOG) will oversee the Engineering, Procurement and Construction (EPC) of a gas supply pipeline system to a power plant in addition to water injection systems consisting of flow lines, trunk lines, manifolds stations and wellheads hook-up work to enhance oil recovery. Mobilisation activity on the project has commenced with a scheduled completion of early 2018.
Commenting on the project award, Wael Allan, chief operating officer (COO) of Drake & Scull International PJSC, said: “Drake & Scull Oil and Gas continues to achieve substantial progress and has gained a noticeable foothold in the oil and gas infrastructure construction sector in the MENA region in short period. The contract award has also raised DSI’s total project wins to AED 570 million [$155 million] in very challenging circumstances. We are confident that our high margin businesses including Oil & Gas, Rail & Infrastructure and Engineering will significantly contribute to our sustainable growth, in line with our strategy of focusing on profitability and cash generation.”
Fares Khatib, Managing Director of Drake and Scull Oil & Gas added, “The Zubair oilfield contract is a positive development for DSOG, particularly as it represents our second collaboration with EIBV. EIBV had previously awarded DSOG the EPC pipeline installation contract for the Zubair oil field in 2012 which was successfully completed in 2015 on the strength of our in-house engineering management, procurement and construction capabilities. Our prior experience with EIBV in Zubair oil field will prove invaluable in ensuring the successful execution of project delivery on the new project award. We are committed to leveraging the skillset and experience of our teams in Iraq & Abu Dhabi to achieve scheduled project progress and meet our completion target.”
DSOG has established its credentials in undertaking large scale, complex Oil, Gas, Chemical & Petrochemical-related projects across the wider MEA region. The company has successfully delivered prominent projects such as the EPC pipeline installation Project for the Zubair oil field in Iraq and the complete construction of Low Density Ammonium Nitrate Plant in Egypt.