CPECC, the engineering arm of Chinese state oil giant CNPC, has further solidified its Iraq EPC footprint with yet another award, this time a $386mn contract to build a two-train oil processing facility at Quraynat to tap the southern portion of the giant Rumaila oil field. Each train will handle 120,000 b/d of medium API crude oil from the Mishrif formation.
According to 18 October Chinese state media reports, the contract will take effect on 16 November with CPECC being responsible for commissioning in addition to engineering and construction. The latter is expected to take 36 months indicating late-2025 start-up. The 1.45mn b/d-capacity Rumaila oilfield is Iraq’s largest and is operated by BP in partnership with CNPC. Fearing climate-related criticism due to high gas flaring at the field, the British giant and its partners established a structured entity called Basra Energy Company Limited (BECL: BP 47.63%, CNPC 46.37%, Somo 5%) to manage the field. (CONTINUED - 377 WORDS)