Known as the Qatif 2 GOSP Project, CB&I will have turnkey responsibility for the engineering, procurement and construction (EPC) of a gas/oil separation plant (GOSP) to service the Qatif South field located along Saudi Arabia's northeast coast near Al Khobar. The project involves the construction of a 200,000 barrel per day GOSP, a gas gathering and compression plant, a water injection plant and associated facilities. Arabian CBI Ltd., CB&I's Saudi Arabian subsidiary, will be responsible for the on-site construction of the facility, while Chicago Bridge & Iron Company, drawing upon the technical expertise of Howe-Baker Engineers, will be responsible for engineering and supply. Completion of the project is expected in the fall of 2004.
"We are very pleased that Saudi Aramco has awarded CB&I our first EPC process plant work in the Kingdom," stated Gerald M. Glenn, chairman, president and CEO. "We have built a long and successful relationship with Saudi Aramco, and we are confident we can add value to this project. This award is proof that our acquisition of Howe-Baker can deliver the synergy growth we anticipated by combining CB&I's global execution capability with Howe-Baker's proven process engineering skills."
The Qatif 2 GOSP Project is part of a US$1.1 billion development to expand Saudi Aramco's oil and gas production. The overall work will involve the construction of GOSPs with a total capacity of 800,000 barrels per day, the expansion of gas handling capacity at existing facilities, pipeline installation, and communications and infrastructure development. Six separate contracts were awarded to local and international contractors that comprise the overall Qatif scope.
Arabian CBI Ltd. has been executing work for Saudi Aramco since its first project in 1939, and has maintained a continuous presence in Saudi Arabia since 1944. During its tenure in the Kingdom, Arabian CBI has executed thousands of projects for Saudi Aramco and has played an important role in the development and expansion of the Saudi Arabian oil and gas industry.
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