Petrofac wins 10-year-long EPCm contract from PDO
The long-term Framework Agreement, which has a duration of ten years, with an additional five-year extension option, builds upon a three-year programme of EPCm support contract delivery Petrofac has undertaken on behalf of Petroleum Development Oman
UK-based engineering giant Petrofac has secured a long-term Framework Agreement with Petroleum Development Oman (PDO) for the provision of Engineering, Procurement and Construction Management (EPCm) support services for major oil and gas projects in the Sultanate.
The agreement, which has a duration of ten years, with an additional five-year extension option, builds upon a three-year programme of EPCm support contract delivery Petrofac has undertaken on behalf of PDO.
Future projects undertaken through the contract will be supported by Petrofac’s Muscat office for technical delivery and to ensure sustainable in-country value is generated.
The value of the contract was not mentioned in the press release issued on behalf of Petrofac – which was ranked No 2 in Oil & Gas Middle East’s recently published list of the Top 30 EPC Contractors 2017.
“This is a landmark agreement between our two companies and marks a new level of collaboration between PDO and Petrofac. It builds upon a long-standing relationship which spans more than two decades and encompasses a significant number of projects undertaken in Oman on both a lump-sum and reimbursable basis,” Craig Muir, group managing director – Engineering and Production Services at Petrofac, said.
“Our priority will be to deliver quality oil and gas facilities that are technically robust, with an absolute focus on safety and in-country value,” Muir was quoted as saying in the press release sent to arabianoilandgas.com.
Petrofac is currently undertaking two projects, on behalf of PDO, through an EPCm delivery model. This includes the $1.2bn award in March 2014 for the Rabab Harweel Integrated Project (RHIP) and the $900mn award in June 2015 for the Yibal Khuff project.
Raoul Restucci, Managing Director, PDO said: “This long-term agreement with Petrofac reflects our continuing commitment to the safe and responsible development of hydrocarbons in the Sultanate and to drive maximum in-country value from our operations.”
“PDO seeks a high level of performance and commitment from our supply chain and this agreement reaffirms our determination to work with key partners in our supply chain to deliver real value for Oman and our shareholders,” Restucci said.
“It is our firm belief the value that we have already created working closely together can be sustained well into the future and we look forward to extending our partnering with Petrofac in this next phase of our relationship,” he concluded.