By Phaedra Friend Troy
US super-major ExxonMobil (NYSE:XOM) and Indonesian national oil company Pertamina have awarded a consortium of Samsung Engineering and Tripatra Engineers & Constructors an engineering, procurement and construction contract on the Banyu Urip project in East Java, Indonesia.
The EPC 1 contract is for the Banyu Urip oil field's production processing facilities to be located in Bojonegoro, East Java. The consortium will perform engineering, procurement, construction and commissioning on a lump-sum basis with project completion slated for three years from now.
"This historic project will be a great opportunity for Samsung Engineering and our trusted partner Tripatra to combine both parties' strengths to deliver a quality project on schedule for our esteemed client and will contribute to Indonesia's need for oil production," said Park Ki-Seok, CEO of Samsung Engineering.
ExxonMobil and Pertamina began an early production project on the Banyu Urip oil field in the Cepu Block in 2009, and recently approved a full field development to produce an estimated 450 million barrels of recoverable resources. The development will produce 165,000 barrels of oil a day and transport oil to an offshore FSO in the Java Sea.
The Samsung-Tripatra consortium has won the first of five major engineering, procurement and construction contracts for the development.