BP-led Consortium Awards Contracts for $6B Caspian Project



MOSCOW (Dow Jones Newswires), July 9, 2010

A consortium led by BP that is operating the massive Azeri-Chirag-Gunashli oil field in the Azeri sector of the Caspian Sea has awarded six contracts totaling $814 million for development of the Chirag project, the consortium said Friday.

Winners include BOS Shelf--a joint venture between Saipem and Azerbaijan state oil company Socar--with a contract value of $215 million, the ATA consortium between AMEC, Tekfen Holding and Azfen with a contract value of $340 million, and Kellogg Brown & Root with a contract value of $150 million.

The Azeri-Chirag-Gunashli BP field, in which BP holds close to 40%, produces 850,000 barrels a day.

Investments into the development of the Chirag project is expected to amount to $6 billion, said the consortium, which also includes Chevron, Statoil, Inpex and Itochu.

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