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LONDON (Alliance News) - Amec Foster Wheeler PLC on Wednesday said it was awarded a GBP125.0 million contract from BP PLC to build a new refrigeration plant to maintain operations at BP's Forties pipeline system.
FTSE 100 oil producer BP wholly owns the oil and gas liquid transportation and processing system, which has the capacity to move in excess of 1.0 million barrels per day serving the central area of the North Sea, taking product from 50 offshore fields.
FTSE 250-listed Amec Foster Wheeler said the contract covers BP's Refrigerated Liquid Petroleum Gas site in Grangemouth, Scotland, which is part of BP's Kinneil Liquid Petroleum Gas Chilldown project.
The contract was awarded under Amec Foster Wheeler's global agreement with BP to provide it with engineering and project management services for the development of onshore facilities around the world. For the Chilldown project, Amec Foster Wheeler will provide engineering, installation, project, construction and supply chain management services.
One of Amec Foster Wheeler's subsidiaries also will supply completions and commissioning support to the Chilldown project.
BP's plant currently runs off a refrigerant gas that needs to be changed under EU legislation, with Amec Foster Wheeler to provide a "suitable more environmentally friendly and efficient replacement refrigerant," it said.
"Without refrigerated liquid petroleum gas refrigeration, the Forties pipeline system would be unable to operate at current operational levels," said Amec Foster Wheeler.
BP did not release a statement concerning the contract.
By Joshua Warner; joshuawarner@alliancenews.com; @JoshAlliance
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