The National Oil Corporation (NOC) is facing an unprecedented situation due to the recent suspension of Mustafa Sanallah from his post as director of the company by the Minister of Petroleum, Mohamed Oun. Despite this tense environment, the company continues to operate.
On September 3, British petroleum engineering company Petrofac announced that it had won a $ 100 million engineering, procurement, construction and commissioning (EPC) contract from Zallaf Libya Oil & Gas, a subsidiary of the State Petroleum Company (NOC).
The said agreement will allow the development of phase 1 of the Erawin oil field, located in southwest Libya.
The scope of EPC’s work will take into account in particular surface equipment as well as the installation of platforms and flow pipes. In addition, an oil pipeline for transporting crude oil over a hundred kilometers to the largest oil field in the country, El Sharara, as well as a control room, a substation and a telecommunications system, are also included in this provision of services.
“Libya is positioning itself to once again become a major producer of oil and gas and we look forward to helping the NOC achieve its goals, safely develop key infrastructure and increase production. For more than 20 years, Petrofac has been carrying out complex projects, providing engineering services and training the local workforce in North Africa.
This new contract builds on our engineering and construction capabilities and our experience in efficient delivery, ”commented Elie Lahoud, Operations-Engineering and Construction Director of Petrofac.
Libya, which sits at the top of Africa’s largest proven oil reserves, currently produces 1.3 million barrels per day. This production could experience a significant increase thanks to the effective development of the Erawin field.