ExxonMobil Awards Five Year Contract to Amec/Jagal/Netco Consortium

Upstream Online, 25/01/2008

EXXONMOBIL has awarded a five-year $220 million engineering, procurement and construction management contract to a consortium comprising UK-listed Amec, Nigeria's Jagal Group and the Nigerian National Petroleum Corporation's engineering subsidiary Netco, writes Barry Morgan.

The Major Integrity Projects programme is designed to upgrade and expand offshore and onshore oil and gas production facilities in south-east Nigeria in an arrangement that Amec said will involve multiple contracts that could last more than five years and significantly extend the life-span of supporting infrastructure.

All work will be fully implemented in Nigeria and "exceed the Nigeria content directive", which demands maximum participation by Nigerian outfits.

Amec will primarily provide project management and procurement skills, while Netco will offer the bulk of engineering skills.

Jagal, which runs NigerDock will supply logistics. Amec chief operating officer Neil Bruce said the contract would reinforce the company's capability "in brownfield projects" and develop local resources, providing both jobs and training opportunities.

Amec already provides operational support for Shell's Bonga floating production, storage and offloading vessel and is involved in gas management in Angola for Chevron's Block 0 and Area A, and in ExxonMobil's Kizomba field gas gathering project.

Next news item: Jagal to Build New American School