Saudi Aramco awards Karan gas contract to U.S. company

March 9, 2009

Saudi Aramco has signed a contract with U.S. oil and gas services company J. Ray McDermott, S.A., a subsidiary of McDermott International, Inc., to develop and construct platforms and a sub-sea pipelines at the offshore Karan gas field.


The contract includes the manufacturing and installation of four platforms and the construction of a 110-kilometer sub-sea pipeline to carry offshore sour gas from the Karan field to be treated and processed at the onshore Khursaniyah gas plant.

The Karan gas project is expected to process 1.8 billion standard cubic feet per day of gas, with the start-up of production scheduled for mid-2011, according to a report carried by Saudi Aramco’s website yesterday.

The offshore work awarded to J. Ray McDermott is in addition to three other contracts for onshore projects awarded earlier to Korea’s Hyundai Engineering & Construction Co., Ltd., the U.K.’s Petrofac, and Korea’s GS Engineering and Construction Co., Ltd.

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