WDS Ltd. (WDS), an integrated services provider to the energy and mining sectors, reports that its Energy Division, in a joint venture (JV) with China Petroleum Engineering & Construction Corp. (CPECC), has signed a field development and operations construction master services agreement with Arrow Energy for Arrow’s domestic gas requirements in Australia.
Arrow Energy has a sizeable domestic gas business and supplies gas to the Braemar, Braemer 2, Daandine, and Townsville power stations and two mineral refining facilities in North Queensland. CPECC is a major engineering and construction company with large-scale petroleum, petrochemical, and civil projects across the Asian, American and African continents, as well as in Australia.
The term of the agreement is two years with an option to extend for a further one year. The initial anticipated value of the contract will be $36.2–74.4 million (AUD 40–80 million) over the first two-year period.
The JV will begin mobilization for the project in April with personnel, plant, and equipment managed out of the JV’s Brisbane office. The works will be conducted in the Surat and Bowen basins in southern and central Queensland with support provided out of WDS facilities in Brisbane, Dalby, Roma, Moranbah, and WDS’ fabrication facilities in Yatala, south of Brisbane.