ECONOMY
Turkey's Tekfen consortium, BP sign $975 mln construction deal in Shah Deniz 2
Baku, December 20 (AZERTAC). A consortium including Turkish construction firm Tekfen Insaat signed a $975 mln deal with BP Exploration to build two offshore platforms in Azerbaijan's Shah Deniz project.
The consortium consisted of engineering and project management companies Azeri Azfen, AMEC (Other OTC: AMCBF - news) and Tekfen, whose share in the project was worth $496 million, the company said in a statement to Istanbul Stock Exchange.
The first contract is for the construction and commissioning support of the Shah Deniz Stage 2 onshore terminal facility at Sangachal near Baku. The scope of work for this contract includes construction of the main gas and condensate processing facilities at the Sangachal terminal, gas, condensate and MEG pipeline installation from the offshore pipeline beach landing site to the terminal facilities and brownfield works in the existing Sangachal Terminal.
The second contract is for the fabrication, load out and offshore hook-up and commissioning of the topsides units of the two Stage 2 platforms - Production and Risers platform (SDB-PR) and Quarters and Utilities platform (SDB-QU).
The Shah Deniz Stage 2 project will bring gas from the Caspian Sea to markets in Turkey and Europe, opening up the 'Southern Gas Corridor'. Shah Deniz Stage 2 is expected to add a further 16 billion cubic meters per year (BCMA) of gas production to the approximately 9 BCMA from Shah Deniz Stage 1.
This Stage 2 development of the Shah Deniz field, which lies some 70 kilometres offshore in the Azerbaijan sector of the Caspian Sea, is expected to include two new bridge-linked production platforms; 26 subsea wells to be drilled with 2 semi-submersible rigs; 500 kilometres of subsea pipelines built at up to 550 metres of water depth; a 16 bcma upgrade for the South Caucasus Pipeline (SCP); and expansion of the Sangachal Terminal. The Trans-Anatolian Pipeline (TANAP) will transport gas across Turkey and the Trans-Adriatic Pipeline will transport gas from the Turkish-Greek border to Italy.