Every year, Oil & Gas Middle East compiles a list of the Top 30 EPC Contractors for the upstream segment. Ahead of the June 2019 issue which will feature this year's edition of the list, we look back at the top contractors from last year's list.
Petrofac ranked first on last year’s list after landing some big tickets deals such as an $800mn contract from supermajor BP for the second planned phase of the major Khazzan gas project in Oman. Petrofac will help spike production from the central processing facility to around 1,500 million standard cubic feet per day.
The firm penned a ten-year association with Petroleum Development Oman, which has already fashioned a significant downstream contract, while it also has on-going key projects in Kuwait.
2. Larsen & ToubroL&T Hydrocarbon Engineering (LTHE) was very visible in 2017-2018. It won an award from Saudi Aramco as part of a consortium with Subsea 7 for three gas production deck modules. The consortium has four on-going projects in the kingdom. LTHE signed a major field development EPC contract with Abu Dhabi’s Al Dhafra Petroleum Operations Company, worth in excess of $342mn. The scope of the contract includes the commissioning of flow lines, gathering facilities and pipelines to transfer crude oil and gas from the Haliba oilfield to a processing facility at Asab. LTHE also snared a big-ticket tie-up with the Kuwait Oil Company last year when it was chosen to build a crude oil transit pipeline from North Kuwait to Ahmadi, with a Q3 2020 completion date. The deal is worth $262mn.
SNC-Lavalin had projects right across the Middle East but Saudi Arabia is a rich seam. As a case in point, the firm’s subsidiary in the kingdom was awarded a five-year framework agreement to provide general engineering services to Al Khafji Joint Operations (KJO), a joint venture between the Aramco Gulf Operations Company and the Kuwait Gulf Oil Company. KJO is responsible for oil and gas exploration, development and production in the offshore area close to the Saudi-Kuwait border. The signed agreement will cover both on-shore and off-shore engineering projects. It also sealed the $2.7bn acquisition last year of the UK’s WS Atkins, a design, engineering and project management consultancy.
Wood’s purchase and absorption of Amec Foster Wheeler, a firm that had 35,000 employees and revenue of more than $7bn in 2016, created a genuine EPC sector big beast. The entity’s expanded global footprint could well see Wood getting among the medals in our list next year. The firm trousered a much-coveted new multi-million dollar, five-year contract to support Saudi Aramco in the delivery of one of its mega-projects, providing engineering and project management services to develop the Marjan oilfield. The front end engineering design (FEED), major increment and overall project management consultancy will be executed from Wood’s Reading, UK, Khobar, Saudi Arabia and India offices. Wood is present in seven countries across the Middle East including the UAE, Kuwait, Iraq and Kuwait and maintains almost 4,000 regional staff.
McDermott is moving upwards on our list thanks to its merger with another member of last year’s top thirty, the Chicago Bridge and Iron Company (CB&I). The deal, valued at around $6bn, ticks some key boxes for McDermott. Speaking exclusively to Oil & Gas Middle East, the firm’s president and CEO David Dickson said the combination with CB&I gives his firm a wider, more balanced global footprint and diversifies its offering into areas such as onshore EPC work and the LNG sector.
Who will take the top spots this year? Check our June 2019 issue to find out.