6/20/2012
BAGHDAD / Aswat al-Iraq: U.S.giant Weatherford International Ltd.
(WFT) has secured a crucial $843 million oilfield facilities contract from an Eni SpA (E)-led group that will boost oil production from Iraq's al-Zubair oil field by some 300,000 barrels a day, anIraqi government spokesman said Tuesday.
"Weatherford will build six initial production facilities each with 50,000 barrels a day capacity," Ali Al Dabbagh said in a statement.Three drilling firms, Schlumberger AG (SLBS.VI),Weatherford and UnaRos, a joint venture of Italy's Rosetti Marino and privately-held Unaoil competed to build the facilities in al-Zubair, located in Basra in southern Iraq.
The initial production facilities, or IPF, will enable the Eni-led consortium to dramatically expand output from Zubair to 554,000 barrels a day from 254,000currently, after about two years from the start of work.The 20-year al-Zubair service contract was awarded at an Iraqi licensing auction held in 2009 to the Eni-led group, which also includes U.S.OccidentalPetroleum Corp, (OXY) and Korea Gas Corp, (036460.SE), or Kogas.
TheZubair field--one of the largest Iraqi oil fields--was producing 195,000barrels a day before it was awarded to the Eni-led group.Production isexpected to rise to a plateau level of 1.125 million barrels a day in 2017 asthe full field development plan is completed.That would require theconstruction of other processing facilities and the rehabilitation of existingones.
Aswat Aliraq 2012
