The project is aimed at increasing the capacity of the existing Karachaganak Processing Complex (KPC) facilities by the addition of a fourth train. The contract covers front-end engineering and design, including tie-ins and early works construction planning, with options to extend further for detailed engineering, procurement, construction management and commissioning support.
Petrofac will work alongside Karachaganak Petroleum Operating B.V. (KPO) and its partners in the multi-million dollar development. The project will draw on expertise from throughout Petrofac's Engineering & Construction division. Petrofac will work on the contract with NIPI Caspian Engineering and Research (CER), an affiliate of the Kazakh Institute of Oil and Gas (KING), based in Aksai and Aktau. Petrofac and CER will use a jointly developed local engineering capability to increase long-term Kazakh development and Kazakh content.
Commenting on the award, Ayman Asfari, Petrofac Group Chief Executive, said, 'The West Kazakhstan and North Caspian regions are of strategic importance to Petrofac. This award, together with the recently secured Kashagan Development Project award for the oil, gas and sulphur removal plants, places Petrofac in a strong position to participate in the substantial capital investment programmes that are being planned on several world-class Kazakh oil and gas developments over the next ten to fifteen years.'
Karachaganak Petroleum Operating B.V. (KPO) is a joint venture between BG Group (32.5%), Eni (32.5%), Chevron (20%) and LUKOIL (15%).
KPO oversees the expansion and development of the Karachaganak field - one of the world's largest oil and gas condensate fields - which is located in North West Kazakhstan and holds over 1.2 billion tons of oil and condensate and more than 1.35 trillion cubic meters of gas.
KPO's operations are regulated through a 40-year Final Production Sharing Agreement (FPSA) signed by the Kazakhstan government and the partners in November 1997.
Development of the field is bringing significant income to both the national and local economies and the project is providing long-term jobs to many Kazakh nationals.
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