McDermott: primed to start work related to the Karan gas field development
McDermott lands Saudi gas field deal
State oil giant Saudi Aramco said it has awarded a contract for the Karan gas field to US engineering and construction outfit J.Ray McDermott.
The turnkey contract provides for the manufacture and installation of four platforms and the construction of a 110 kilometre long (68 miles) subsea pipeline to carry the gas from the Karan field, Aramco said in a statement.
It did not disclose the value of the contract.
The gas from Karan will be processed at the onshore Khursaniyah gas plant with start-up production scheduled for mid-2011, Aramco said. Karan will produce 1.5 billion cubic feet per day, and will process about 1.8 billion cubic feet per day.
Aramco has awarded onshore contracts for the project to UK-based Petrofac Ltd and South Korea's Hyundai Engineering and Construction Co Ltd, Aramco has said.
The cost of the Karan project was reported to have fallen by at least 20% from previous estimates that pegged it as high as $5 billion, reported Reuters.