15 April 2014, News Wires – Daewoo Engineering & Construction has won approval from Iraqi authorities for its $588.8 million gas and oil separation plant (GOSP) contract at the giant Zubair field, according to a report.
Iraq’s cabinet on Tuesday signed off on the deal for the plant to be built by the South Korean giant, Reuters reported.
Daewoo will carry out engineering, procurement and construction work on the plant, which is thought to be destined for the south of the oilfield.
Italian operator Eni is joined in the field by Occidental Petroleum and Korea Gas Corporation.
Eni hopes to increase Zubair’s output to 400,000 barrels per day by the end of 2014. Obstacles such as contract delays meant Eni had so far only spent $3 billion out of a planned $7 billion on Zubair.
Various GOSP contracts, thought to number five, are set to cost $3 billion.