Petrofac wins $1.3bn EPC contract with Kuwait Oil Company

Petrofac won a three-year contract worth roughly $1.3bn from the Kuwait Oil Company to design and build a gathering centre in the Burgan oil field, in the south east of the country.

Beginning shortly, Petrofac will complete the engineering, procurement and construction (EPC) of the first sour gas gathering centre to be developed in the field, with completion scheduled for the middle of 2020.

The GC 32 gathering centre will process crude oil and associated gas recovered from the Arifjan, Marat, Minagish Oolite and Burgan Wara high hydrogen sulphide fields.

The FTSE 250 company's chief operating officer, Marwan Chedid, said: "Kuwait is one of our core markets in the Middle East and we have been executing projects in the country since the early 1980's.

"We are proud to continue our association with KOC and look forward to working closely with them to deliver the project."

The GC 32 centre will have the capacity to produce around 120,000 barrels of oil per day together with associated water, gas and condensate.

Shares in Petrofac spiked 1.6% to 913.5p just after the announcement just before midday on Tuesday.