Fluor Corporation (FLR) announced that its consortium with the Branch of KMG Engineering LLP KazNIPImunaigas was awarded a three-year engineering services agreement, plus two potential one-year extensions, by Karachaganak Petroleum Operating B.V. (KPO) for projects at its Karachaganak Field in Kazakhstan.
Fluor booked the undisclosed contract value in the third quarter of 2019.
“This important award will allow Fluor to build a long-term relationship with KPO and to expand our capabilities and presence in Kazakhstan,” said Mark Fields, group president of Fluor’s Energy & Chemicals business.
“Our involvement in the early stages of the project means we can work with KPO across a range of work to optimize the Karachaganak field with a focus on achieving an outstanding safety performance and operational excellence.”
Fluor’s scope of work includes feasibility studies, front-end engineering design and other engineering services. Fluor plans to open an office in Aksai for dedicated project personnel with scalable accommodation to meet all engineering requirements. An engineering team in Fluor’s Farnborough, UK office as well as global subject matter experts will also support project needs.
To the maximum extent possible, Fluor will leverage local engineering talent to execute its scope of work. Fluor will also provide training and knowledge transfer to increase local talent on the project during execution as project needs dictate.
KPO oversees the expansion and development of the Karachaganak field – one of the world’s largest oil and gas condensate fields – which is located in northwest Kazakhstan covering an area of more than 280 square kilometers.
KPO is a joint venture with Shell (29.25%), Eni (29.25%), Chevron (18%), LUKOIL (13.5%) and KazMunaiGas (10%).
Fluor has more than 30 years of experience working in Kazakhstan executing some of the most challenging and complex oil and gas projects.