Petrofac wins $790MM contract to build Total's gas processing plant on the Shetland Islands

Source: Petrofac

Petrofac has been awarded a contract worth in excess of US $790 million (£500 million) by Total  E&P UK Limited (NYSE:TOT) for the development of a gas processing plant on the Shetland Islands. Work is scheduled to begin in October 2010, with first gas expected from the project in Q2 2014.

Petrofac will develop the 500 million standard cubic feet per day gas processing plant through its Offshore Engineering & Operations (OE&O) business unit, supported by Engineering & Construction. The project comprises engineering and procurement, supply, construction, commissioning and start-up. The plant, located on Shetland at Sullom Voe, will facilitate the transportation of gas from Total's Laggan and Tormore fields, which lie 125km North-West of the Shetland Islands, to the Total operated St Fergus Gas Terminal in Aberdeenshire.

Maroun Semaan, Petrofac's group chief operating officer, commented: "We are pleased to have been awarded this important contract with Total, a major international customer for our group. The contract, which has been secured following an extensive project definition and competitive bidding process, forms part of the strategic growth plan for the Offshore Engineering & Operations business and marks our first EPC contract in the UK."

Bill Dunnett, managing director of Petrofac Offshore Engineering & Operations said: "Today's announcement represents a very significant milestone for the OE&O business. We have mobilised an excellent project team focused upon delivering the project objectives, while ensuring we respect both the location and the environment, and to work alongside the local Shetland community."

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