(Yicai) May 15 — China Petroleum Engineering Corporation, the construction engineering unit of oil and gas giant China National Petroleum Corporation, has secured its third major gas contract in the Middle East this year, worth USD1.6 billion.
CPEC’s unit China Petroleum Engineering and Construction Corporation will provide engineering, procurement, supply, construction, and commissioning services for a natural gas processing unit with a daily capacity of 320 million standard cubic feet for a gas project in the Ratawi Oil Field in Iraq owned by TotalEnergies, the Beijing-based parent firm announced yesterday. Construction is expected to last 39 months.
CPECC has extensive experience in surface engineering construction for oil and gas fields and has already executed projects in Iraq, CPEC noted.
The deal will help CPEC expand its onshore oil and gas field surface engineering business in Iraq and the Middle East and positively impact its operating revenues and profits over the next four to five years, the firm added.
This is the second engineering project CPEC has won in the Middle East since the beginning of the year. In January, its other subsidiary China Petroleum Pipeline Engineering secured a USD532 million contract to build a liquefied natural gas pipeline for Adnoc Gas in the United Arab Emirates.
CPEC’s shares [SHA: 600339] were trading down 0.3 percent at CNY3.17 (43 US cents) as of 1.40 p.m. in Shanghai today.
Editor: Futura Costaglione