Petrofac Regulatory News (PFC)

25 Jun 2007 07:03

Petrofac Limited25 June 2007 PETROFAC LIMITED AWARD OF KARACHAGANAK PHASE III FEED Petrofac, the international oil & gas facilities service provider, has receiveda letter of award from Karachaganak Petroleum Operating BV (KPO) for a Front-EndEngineering and Design (FEED) study for Phase III of the development of theKarachaganak Processing Complex (KPC) in Kazakhstan. This award by KPO followscompletion of a FEED study for the KPC fourth stabilisation and sweetening trainand subsequent award of the detailed engineering, procurement, constructionmanagement and commissioning support for the train. The Phase III FEED, which is scheduled for completion around mid-2008, will beexecuted on a reimbursable basis from Petrofac's offices in Woking, drawing uponresources from across Petrofac's Engineering & Construction division, andinvolving up to 400 engineering staff. Petrofac will be working alongside KPO,its partners and with NIPI Caspian Engineering and Research (CER), an affiliateof the Kazakh Institute of Oil and Gas, based in Aksai and Aktau in Kazakhstan.Petrofac and CER will use a jointly developed engineering capability to increaselong-term Kazakh development and Kazakh content. Commenting on the award, Maroun Semaan, Chief Executive of Engineering &Construction division, said: "We are delighted to have secured this major award;it represents a significant step forward for Petrofac in terms of the provisionof engineering services and further reinforces our position in and commitment tothe substantial capital investment programmes that are underway and beingplanned in Kazakhstan and the Caspian region." Ends For further information, contact: Petrofac Limited +44 (0) 20 7811 4900Ayman Asfari, Group Chief ExecutiveKeith Roberts, Chief Financial OfficerJonathan Low, Head of Investor Relations Bell Pottinger Corporate & Financial +44 (0) 20 7861 3232Ann-marie WilkinsonOlly Scott Notes to Editors Karachaganak Karachaganak Petroleum Operating B.V. (KPO) is a joint venture between BG Group(32.5%), Eni (32.5%), Chevron (20%) and LUKOIL (15%). BG Group and Eni are thejoint operators. KPO's operations are regulated through a 40-year FinalProduction Sharing Agreement (FPSA) signed by the Kazakhstan Government and thepartners in November 1997. KPO oversees the expansion and development of the Karachaganak field - one ofthe world's largest oil and gas condensate fields - which is located in NorthWest Kazakhstan. The hydrocarbons in place in the field comprise over 1.2billion tonnes (9 billion barrels) of oil and condensate and more than 1.35trillion cubic metres (48 trillion cubic feet) of gas. The US$8 billionKarachaganak Phase III expansion, which is expected onstream in 2012, couldexpand stabilised oil export to over 16.5 million tonnes per annum and sour gashandling to up to circa 16 billion cubic metres per annum. The Karachaganakfield is expected to be a multi-billion dollar, multi-phase development. Development of the field is bringing significant income to both the national andlocal economies. Between 10,000 and 12,000 jobs for Kazakh nationals areexpected to be created during construction, as well as up to 900 additionalpermanent ones. For additional information, please refer to the KPO website at www.kpo.kz. Petrofac Petrofac is a leading international provider of facilities solutions to the oil& gas production and processing industry, with a diverse customer portfolioincluding many of the world's leading integrated, independent and national oil &gas companies. Petrofac is quoted on the London Stock Exchange (symbol: PFC) andis a constituent of the FTSE 250 Index. Through its three divisions, Engineering & Construction, Operations Services andEnergy Developments, Petrofac designs and builds oil & gas facilities; operates,maintains or manages facilities and trains personnel; and, where return criteriaare met and service revenue synergies identified, co-invests with clients andpartners. Petrofac's range of services allows it to help meet its customers'needs across the life cycle of oil & gas assets. With more than 9,000 employees, Petrofac operates out of four strategicallylocated international centres, in Aberdeen, Sharjah, Woking and Mumbai and afurther 16 offices worldwide. The predominant focus of Petrofac's business is onthe UK Continental Shelf (UKCS), Africa, the Middle East, the Commonwealth ofIndependent States (CIS) and the Asia Pacific region. For additional information, please refer to the Petrofac website at www.petrofac.com. This information is provided by RNS The company news service from the London Stock Exchange