KBR wins $365m Shah Deniz contract from BP-Azerbaijan

A BP-led consortium developing Azerbaijan’s Shah Deniz Stage Two natural gas project has awarded KBR a $365 million contract.The contract is for “provision of detailed engineering, project management and procurement support services for the Shah Deniz Stage 2 project,” the BP office in Baku, the Azeri capital, said today in a statement.The award of the contract follows the final investment decision for the Shah Deniz Stage Two development signed in Baku on Dec. 17.Work under the contract will start in January 2014 and end in 2018, BP said.The Shah Deniz Stage Two project will bring gas from the Caspian Sea to markets in Turkey and Europe, opening up the Southern Gas Corridor. Shah Deniz Stage Two is expected to add a further 16 billion cubic meters per year of gas production to the approximately 9 billion cubic meters from Shah Deniz Stage One.

Shah Deniz partners are: BP, operator (28.8 per cent), SOCAR (16.7 per cent), Statoil (15.5 per cent), Total (10 per cent), Lukoil (10 per cent), NICO (10 per cent) and TPAO (9 per cent).

ANN.Az