The State Syrian Gas Company signed a contract with OAO Stroytransgaz for construction of the gas processing plant and associated facilities and pipelines from the gas fields from the South Area of the Central Region of SAR.

Monday, December 05, 2005

The State Syrian Gas Company signed a contract with OAO Stroytransgaz for construction of the gas processing plant and associated facilities and pipelines from the gas fields from the South Area of the Central Region of SAR.

Under the terms of the Contract the Russian company Stroytransgaz undertakes to implement the  project on “turn key” basis, that is to carry out engineering, procurement, construction, commissioning and start-up of the Project.

The complex of the Gas processing plant will be located 70 km from Palmira, the area, where the biggest hydrocarbon fields in Syria are situated.

The scope of works includes development of well sites and construction of separators for preliminary gas treatment  at 3 fields: Abo Rabah, N.Al Faid and Qomqom, as well as construction of gathering pipelines from the wells to the preliminary separators  and further on to the gas processing plant, gas  and condensate  tie-ins from the plant into the existing gas and oil pipelines, racks  for  off-take of the liquefied gas to tank trucks.

The plant capacity will be of 2,2 bcm/year of purified gas, 23 000 tons/year of liquefied propane-butane  and 120 000 tons/year of condensate.

The project will be implemented within 22 months.

The price of the Contract is over US $ 200 million. The Contract was signed as a result of the International Tender for construction of the gas processing plant, announced by the Syrian Gas Company in the spring of 2005. At the last stage of the Tender apart from the Russian Company two more companies were bidding for implementation of the project – Attila Dogan (Turkey) and ABB PS &S (Italian branch).

The winning of OAO Stroytransgaz in the Tender was conditioned by a number of financial, technical and structural benefits of the company. In particular, the Employer pointed out the unique experience of the Russian contractor in development of wells, construction of gas pipelines and other facilities for gathering and transport of gas, a possibility of choosing the most effective technologies for treatment and processing of gas, knowledge of the peculiarities of the local market.

Construction of the gas processing plant of the North  and South Middle Area  group of fields is a project of national importance for Syria. Signing of the contract for its implementation with the Russian contractor testifies strengthening of OAO Stroytransgaz positions as engineering and construction company in the Middle East.