Canada’s SNC-Lavalin has announced the award of a contract to Kentz, a member of the SNC-Lavalin Group, by ExxonMobil, for a new oil processing facility to increase production at its West Qurna 1 oil field in Iraq.

Kentz, with its regional partner, is providing the front-end engineering design (FEED), detailed design engineering, procurement, fabrication, construction, commissioning and start-up of the new facility, capable of producing an annual average of 100,000 stock tank barrels of crude oil per day.

The facility, located in the province of Al Basra, will be designed to process full well stream fluids from the production wellhead area and separate them into associated gas, untreated produced water, and stable product crude for export.

The project will be executed out of the company’s Abu Dhabi engineering hub, with support from its Dubai operations and is expected to be completed in 26 months. This project is critical for the West Qurna 1 overall development plan and this contract highlights key advantages that the integration brings to the company’s overall capability to service key clients.

Christian Brown (pictured), President, Oil and Gas, SNC-Lavalin, said:

We are delighted to continue our relationship with ExxonMobil, a client we’ve provided services to for many years.

“The combined expertise and resources in our Oil & Gas business allows us to offer an even a broader range of high-quality services, and in the Middle East we have a strong team of over 8,000 people in the region that can deliver for clients.”

(Source: SNC Lavalin)

The Iraqi Ministry of Planning has opened a new Procurement Help Desk to streamline the tendering process.

Speaking at the opening of the facility, US ambassador Stuart E Jones (pictured) made the following statement:

Thank you for those excellent remarks and thank you for your support to the USAID and embassy teams that have been working so closely with the Ministry of Planning.

“I’m really honored and pleased to be here today with you. And, I’m delighted to celebrate the opening of the Procurement Help Desk; this, of course is a project of the Ministry of Planning in partnership with the U.S. Government.

“Let me tell you about the way things used to be. Before this Help Desk, private contractors and government entities had no place to turn to for guidance on public procurement. Each ministry had its own specific methods of procurement. These processes were often confusing and opaque – and overwhelmed in red tape.

“Let me share this one example. Previously, the Ministry of Electricity applied a complicated procurement process that required 28 steps, this involved more than 15 departments, and took 10 months, and this was for every tender to be prepared and awarded. International suppliers lost confidence in the procurement system and, as a result, spare parts were not delivered on time or were of inferior quality. Vital electricity projects were stalled.

“It doesn’t have to be this way. Now, thanks to the Minister of Planning and his team, there are multiple layers of support for government procurers. The Help Desk provides a library of internationally accepted and common standard bidding documents for other ministries to use. Now, Ministry of Planning staff can ensure that all local and central government authorities apply international standards to contract tenders.

“So, going back to the Ministry of Electricity; with support from the Help Desk, the Ministry of Electricity was able to cut out 23 of the 28 steps in its procurement process. Total procurement time went from 10 months to two months.

“This is a game changer. It sends the message that the government of Iraq is a reliable partner, it sends the message that government bidders are going to get fair treatment, and it sends a message that projects are going to get completed in a speedy fashion.

“Already now, 30 pilot tenders with 17 government institutions have benefited from the Help Desk.

“Transparent procurement creates jobs. Transparent procurement means completion of priority capital investment projects. It means the infrastructure that Iraqi citizens need and use every day – roads, buildings, and power plants – can be contracted fairly and completed more quickly and delivered to higher standards.

“This is exactly the kind of reform that his Excellency, Prime Minister Haider al-Abadi has called for. This is exactly the kind of reform that the people of Iraq want. The Help Desk is now fully in Iraqi hands. And, this is only the beginning of the quest to limit corruption and improve business and investment in Iraq.

“So, your Excellency, I want to thank you for your leadership, for your guidance, for your energy behind this project. I want to thank the team here at the Ministry of Planning for guiding this, for driving this and I want to thank my colleagues at USAID and the Tarabot team for supporting the Ministry of Planning in achieving this objective.”

(Source: Embassy of the United States)

By John Lee.

Eighteen Turkish employees of Ankara-based construction company Nurol Insaat have been kidnapped in Baghdad.

Masked men in military uniforms reportedly stormed the construction site, where the workers were sleeping in caravans, and bundled them into several SUVs early on Wednesday.

The men were working on the construction of the new sports complex (pictured) in the Sadr City area of Baghdad.

Turkish Foreign Ministry Spokesman Tanju Bilgic said the kidnappers specifically targeted Turkish nationals.

Neither the identity nor the motives of the kidnappers were immediately known.

(Source: Associated Press, BBC)

By John Lee.

Iraq’s Ministry of Electricity has invited investment in a new power station at al-Yusufiyah, in Baghdad.

The contract for the 1200-1400 MW plant will be granted on a build, own and operate basis.

Further details are available from the Ministry of Electricity: 32_contracts1@moelc.gov.iq

(Source: National Investment Commission)

(Electricity image via Shutterstock)

By John Lee.

Austrian-based Andritz has won a contract to supply 121 pumps and 18 booster stations for a new drinking water treatment plant in Samawa, Iraq, on behalf of PWT Wasser- und Abwassertechnik, Germany.

The new plant will pump up 220,000 m³ of water from a branch of the river Euphrates, which will then be processed into drinking water, fed to a pipework, and distributed to end-consumers via nine pumping stations.

After having received the first such order two years ago and the supply of 35 pumps in 2014, Andritz was now awarded this follow-up order, which will be completed by the end of 2015.

(Source: Andritz)

By John Lee.

On Thursday the Prime Minister Dr. Haider Al-Abadi held a meeting in his office with the Japan International Cooperation Agency (JICA) to discuss projects to provide drinking water to the province of Basra.

During the meeting, there was a follow-up on the water desalination project in al-Hartha in Basra.

Dr. Abadi stressed to JICA the need to complete this project on time, and to overcome obstacles including the provision of adequate allocations to finance the project, which will be presented during the next session of the Council of Ministers for approval.

Relatedly, Dr. Abadi called for the formation of a high-level technical team to assess the al-Bad’a Channel project and quickly provide a report on how to increase the amount of water transferred to the purification projects for the people of Basra, and the team will start work immediately.

(Source: Office of the Prime Minister)

By John Lee.

Chinese company Honghua Group Ltd has announced that it entered into an oilfield services agreement worth approximately US$26.0 million (approximately HK$201.5 million) with an Iraqi client in early July.

Pursuant to the oilfield services agreement, the company will provide drilling services using two rigs which are expected to gradually begin operations in August and September 2015.

In addition, the oilfield services agreement also includes the subsequent optional drilling services provided by Honghua.

Mr. Zhang Mi, Chairman of HH commented:

“We will continue to expand the business layout from equipment manufacturing to engineering services by taking the drilling business as the core, and to capture the enormous opportunity rising from the recovery of the global oil market in the future.”

(Source: PR Newswire)

By John Lee.

Chinese company Honghua Group Ltd has announced that it entered into an oilfield services agreement worth approximately US$26.0 million (approximately HK$201.5 million) with an Iraqi client in early July.

Pursuant to the oilfield services agreement, the company will provide drilling services using two rigs which are expected to gradually begin operations in August and September 2015.

In addition, the oilfield services agreement also includes the subsequent optional drilling services provided by Honghua.

Mr. Zhang Mi, Chairman of HH commented:

“We will continue to expand the business layout from equipment manufacturing to engineering services by taking the drilling business as the core, and to capture the enormous opportunity rising from the recovery of the global oil market in the future.”

(Source: PR Newswire)

By John Lee.

Chinese company Honghua Group Ltd has announced that it entered into an oilfield services agreement worth approximately US$26.0 million (approximately HK$201.5 million) with an Iraqi client in early July.

Pursuant to the oilfield services agreement, the company will provide drilling services using two rigs which are expected to gradually begin operations in August and September 2015.

In addition, the oilfield services agreement also includes the subsequent optional drilling services provided by Honghua.

Mr. Zhang Mi, Chairman of HH commented:

“We will continue to expand the business layout from equipment manufacturing to engineering services by taking the drilling business as the core, and to capture the enormous opportunity rising from the recovery of the global oil market in the future.”

(Source: PR Newswire)

By John Lee.

Chinese company Honghua Group Ltd has announced that it entered into an oilfield services agreement worth approximately US$26.0 million (approximately HK$201.5 million) with an Iraqi client in early July.

Pursuant to the oilfield services agreement, the company will provide drilling services using two rigs which are expected to gradually begin operations in August and September 2015.

In addition, the oilfield services agreement also includes the subsequent optional drilling services provided by Honghua.

Mr. Zhang Mi, Chairman of HH commented:

“We will continue to expand the business layout from equipment manufacturing to engineering services by taking the drilling business as the core, and to capture the enormous opportunity rising from the recovery of the global oil market in the future.”

(Source: PR Newswire)