Petrofac confirmed that it has been awarded a contract in excess of USD 240 million by Shell Iraq Petroleum Development BV for developments in the Majnoon Field of Southern Iraq.

Under the competitively tendered contract, Petrofac is providing engineering, procurement, fabrication and construction management services for the development of a new early production system comprising two trains each with capacity for 50,000 barrels of oil per day along with upgrading of existing Brownfield facilities. Work on the project began in mid 2010 and is expected to complete during the Q4 of 2012.

Mr Ayman Asfari group CEO of Petrofac said that “Majnoon is one of Iraq’s largest developments and we are delighted to be working with Shell to assist them with unlocking the field’s potential. Iraq’s geographic location, adjacent to many of our existing areas of operation made it a natural market for the group as we continue to broaden our geographic footprint.”

Mr Subramanian Sarma MD of Petrofac Engineering & Construction said that “Prior to beginning work with Shell in Iraq last year, we had spent many months preparing in order to achieve a sufficient level of readiness across several aspects of our business operations. All of our activities are underpinned by our strong commitment to safety, quality and integrity and alongside Shell and the local community, we are working to deliver this project to the standards our customers and stakeholders expect from us.”