Global Engineering and Construction Group, a subsidiary of leading engineering conglomerate Foster Wheeler, in a joint venture with Taknia Libya Engineering Company, has won a front-end engineering design (FEED) contract from Nafusah Oil Operations, Libyan branch for an onshore oilfield development.

 

The Area 47 Development Project in Libya is located in the Hamada region, about 200 km south of Tripoli, in the Ghadames Basin.

 

The Foster Wheeler contract value was not disclosed and will be included in the company’s second-quarter 2014 bookings, said a statement.

 

The planned development will consist of 34 producing wells, including eleven existing wells and about 23 new wells, flow-lines and a common gathering trunk-line to transport the well fluids to the central gas oil separation facility for primary treatment. 

 

After separation, the oil and gas produced will be exported through new pipelines that will be connected into existing pipelines carrying products to the Mellitah delivery terminal, in the northwest of Libya, on the Mediterranean Sea, for export. 

 

The planned design capacity of the gas oil separation facility is 50,000 barrels per day (bpd) of oil, 90 million standard cu ft per day of gas and associated water (to be re-injected into the reservoirs). 

 

Roberto Penno, chief executive officer, Foster Wheeler Global Engineering and Construction Group, said: “Foster Wheeler has been involved in the Area 47 Development Project for some time, having completed the conceptual study in 2012 and worked on the FEED definition in 2013.

 

“Area 47 is located in a relatively remote part of Libya, so the facilities are being designed on a modular basis in order to minimise on-site construction and installation activities, and to accommodate future expansion.” 

 

Tayeb Said, managing director of Taknia, said: “Taknia looks forward to the joint execution of this FEED project with Foster Wheeler. We hope this partnership will open the door for more co-operation between the two parties to execute more projects in the Libyan market and more significantly help enhance the technology transfer programme that Taknia is implementing.

 

Mohamed Jamaleddin, chairman of the Operating Management Committee, Nafusah Oil Operations, said: “To achieve first oil production by the end of 2016, Nafusah is looking forward to have this FEED project completed on schedule or even before in order to start the second phase of the project as early as possible next year.”

 

Nafusah Oil Operations was formed as a joint operating company by PT Medco Energi Internasional, through its subsidiary Medco International Ventures, Indonesia, with its partners, the National Oil Corporation of Libya and the Libyan Investment Authority. Nafusah Oil Operating Company will act as the operator for the development and production phases of Area 47. - TradeArabia News Service