London listed Petrofac secures £490million Salalah extraction project

London Stock Exchange-listed oil and gas company Petrofac has been awarded a £490million contract for the Salalah LPG extraction project.

The firm announced today that it signed a contract with Salalah LPG SFZCO LLC, a wholly-owned subsidiary of Oman Oil Facilities Development Co (OOFDC), to undertake the engineering, procurement and construction of the project.

The project is Petrofac's eleventh major contract in the sultanate.

Under the terms of the 36-month lump sum EPC contract - which will be triggered when Salalah LPG issues the notice-to-proceed - Petrofac’s scope of work will include construction of the liquefied petroleum gas (LPG) unit and associated facilities, including tie-ins to existing pipeline infrastructure, together with LPG storage and jetty facilities at the Port of Salalah.

“This contract is our eleventh in the sultanate and reinforces our commitment to Oman where we have been present since 1988,” said Marwan Chedid, Petrofac chief operating officer.

“This project will further support our commitment to increase in-country value. We will continue to maintain strong focus on this aspect of our delivery, particularly by engaging the local supply chain and recruiting local resources. We are very much looking forward to growing and strengthening our team working alongside OOFDC to deliver this project."

Petrofac designs and builds oil & gas facilities; operates, maintains and manages facilities and trains personnel; enhances production; and, where it can leverage its service capability, develops and co-invests in upstream and infrastructure projects.