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FINANCIAL NEWS
Iraq awards Daewoo E&C USD709m contract for Akkas gas field
30 Jul 2013
(MENAFN) Iraq has awarded a USD709 million contract to South Korea’s Daewoo Engineering & Construction to develop Iraq’s largest gas field in the western province of Anbar, Reuters reported.
Cabinet secretary Ali Al Alaq said that Daewoo E&C will handle engineering, procurement and construction work for the processing facility and pipeline network at the Akkas gas field.
He added that the gas filed has an estimated 5.6 trillion cubic feet of gas reserves.
In 2011, Iraq signed a contract with South Korea’s Kogas to develop the gas field for a fee of USD5.50 per barrel of oil equivalent and a production target of 400 million cubic feet per day over 13 years.
Iraq, holder of the world’s 10th largest gas reserves, has said the priority for the gas will be domestic consumption, mainly for power generation, but has left open the possibility of allowing exports once domestic needs are satisfied.
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