QatarEnergy has awarded the four main Engineering, Procurement, Construction, and Installation (EPCI) contract packages related to the next development phase of the Al-Shaheen field, Qatar’s largest offshore oil field, to increase production by about 100,000 barrels of oil per day (BPD).
The award is part of Project Ru’ya, meaning ‘Vision’ in Arabic, which is the third phase of Al-Shaheen’s development since North Oil Company, a joint venture between QatarEnergy (70%) and TotalEnergies (30%), took over the field’s operation in July 2017.
Project Ru’ya, which will develop more than 550 million barrels of oil, will be executed over a period of five years with first oil expected in 2027.
The project includes the drilling of more than 200 wells and the installation of a new centralized process complex, nine remote wellhead platforms, and associated pipelines.
The four EPC packages, with varying scopes of work, have been valued in total at more than $6 billion.
The EPC package for 9 wellhead platforms, valued at about $2.1 billion, has been awarded to a consortium of McDermott Middle East and Qingdao McDermott Wuchuan Offshore Engineering.
The contract for a Central Processing Platform valued at about $1.9 billion has been given to a consortium of McDermott Middle East and Hyundai Heavy Industries.
The EPC package for a riser platform valued at about $1.3 billion has been awarded to Larsen & Toubro Limited.
And the final EPC contract for subsea pipelines and cables valued at about $900 million has been awarded to China Offshore Oil Engineering Co (COOEC).
“By awarding these contracts, we are taking an important step towards realizing the full potential of Al-Shaheen filed, which produces around half of Qatar’s crude oil today.
“I would like to thank North Oil Company and our longtime strategic partner TotalEnergies for their great efforts towards unlocking the true potential of Qatar’s hydrocarbon resources and maximizing value from Al-Shaheen field through the implementation of world-class development and operational excellence programs,” said Saad Sherida Al-Kaabi, the Minister of State for Energy Affairs, the President and CEO of QatarEnergy.
Al-Shaheen field is located 80 kilometers offshore Qatar and is among the world’s largest in terms of ‘oil in place’. The field started commercial production in 1994 and underwent significant development to reach an oil production rate of 300,000 bpd in 2007