SAUDI ARABIA - Hawiyah.

The local Modern Arab Construction Company (MAC) was late month awarded a sub-contract covering the civil and buildings package for the main gas treatment and compression plant on the Hawiyah NGL project. Estimated to be worth at least $50m, the contract was placed by Snamprogetti, which was awarded the $800m main contract in March by Saudi Aramco. Bids were submitted on Sept. 19 to Saudi Aramco for the lump-sum turnkey (LSTK) contract to expand the Hawiyah gas treatment plant. At least five companies priced the $400m contract, which is aimed at increasing the processing capacity of the plant by 800 MCF/d to 2,400 MCF/d by 2008. The bidders include Hyundai Engineering & Construction Co. of South Korea, Techint of Italy, SNC Lavalin of Canada, Tecnicas Reunidas of Spain and US-based ABB Lummus Global. A contract award is due by early December.

The contract is the last to be tendered under the Hawiyah NGL recovery programme. In March, Saudi Aramco signed six LSTK contracts, covering construction of the grassroots Hawiyah NGL plant and the expansion of the Ju'aymah gas fractionation plant, worth a total of about $2,200m. Jacobs Engineering is the overall PMC on the Hawiyah NGL recovery programme.

A tender is also due to be issued in late October for another gas plant expansion project at Yanbu'. About 11 international contractors submitted prequalification proposals in July for the contract, including Daelim Industrial Co. of South Korea, CTCI of Taiwan, JGC Corp., Snamprogetti, Hyundai E&C, Techint, SNC, Tecnicas Reunidas and ABB. The $250-300m expansion will raise total fractionation capacity at the plant to 555 MCF/d. The facilities are due to be commissioned by late 2008.

Qatif, a giant field shut down in 1995, has been reactivated and expanded under a $2 bn incremental oil and associated gas project which raised its capacity from 200,000 b/d to 800,000 b/d inaugurated in December 2004. The $630m EPC contractor for Qatif North's 500,000 b/d GOSP and the 300,000 b/d offshore Abu Safah field's GOSP (see below) was Snamprogetti. The $105m EPC contractor for Qatif South's 300,000 b/d GOSP was CBI Arabia a unit of Chicago Bridge & Iron Co. of the US which has been involved in Saudi Arabia since 1939. The contracts were awarded in March 2002. Foster Wheeler was the PMC. The project also raises the field's gas and condensate production capacity. Qatif is said to contain 17 TCF of gas and 200m barrels of condensate. Some of the field's condensate output is being used to blend a part of its Arab Medium production to turn Arab Extra Light (AEL) crude oil. Qatif can produce 600,000 b/d of AL, 130,000 b/d of Arab Medium, and 70,000 b/d of AEL (38[degrees] API with about 1% sulphur). Work on Qatif has included drilling of 20 development wells in 2001/03, under a three-year, $140m contract won by Halliburton in November 2001. Multiple wells were drilled from a single pad. Other contractors have been involved in the revamping of Qatif's existing GOSP, co-generation plants to produce 180 MW of power and 600,000 pounds an hour of high-pressure super-treated steam, and the building of a pipeline carrying condensate to the Ras Tanura oil refining complex on the Gulf coast. Power and steam from the co-generation plant are also supplied to the nearby offshore Berri and Abu Safah oilfields.

Berri, found in 1964 by Mobil, is an onshore and offshore giant. It has over 10 bn barrels of 32-34-39[degrees] API oils recoverable at relatively low cost. The field produces from several Fms of Upper and Mid-Jurassic age, lying mostly at a depth of 8,300 ft. Its capacity has been raised from less than 700,000 b/d in 1990 to 1.15m b/d. Berri crudes are blended with lighter grades mostly produced from Abqaiq and the field's system can take crudes from Qatif. The export blend is AEL.

Berri's associated gas is being developed under a project, which includes expansion of its gas processing plant. This is MGS' third gas processing plant, the first two being at Shedgum and Uthmaniyah, and its capacity is being raised to 1,400 MCF/d. It is to have unit to recover 280 MCF/d of ethane and 70,000 b/d of propane-plus, quantities of heavier NGLs and 3,300 t/d of sulphur by late 2005.

Abqaiq, a super-giant found in 1940, is said to have 17 bn barrels of oils recoverable at relatively low cost. They are reservoired in Upper and Mid-Jurassic Fms at a depth of 6,690 ft in most cases. The field was expanded in 1994 to produce 850,000 b/d of 35-37[degrees] API oils with 1.32-2.28% sulphur. This has added 165,000 b/d to the stream producing AEL. Work on Abqaiq has included horizontal drilling. Abqaiq's crudes and those of Berri and Shaybah are mixed at blending facilities built at Abqaiq to produce the AEL. These facilities are linked by pipeline to Shaybah field in the deep south-east.

Harmaliya, found in the 1950s, is producing 175,000 b/d.

Saudi Aramco in August was evaluating bids for a major onshore pipeline maintenance contract. About 13 companies submitted bids by late July for the four-year contract, which is valued at up to $300m. Called onshore potential maintenance, the contract involves maintenance and upkeep of gas pipelines in 14 areas including Abqaiq, Shaybah, Shedgum, Qatif and Uthmaniyah. An award is due by late October.