Texaco awards three contracts for Venezuelan project

Aug. 21, 2000
Texaco Inc., White Plains, NY, and its partners in the Hamaca heavy oil project in Venezuela's Orinoco Belt announced plans Friday to award three major engineering, procurement, and construction contracts, valued at $1.074 billion, to consortia led by Fluor Daniel Corp. and Venezuela's Inelectra/Parsons.


Texaco Inc., White Plains, NY, and its partners in the Hamaca heavy oil project in Venezuela's Orinoco Belt announced plans Friday to award three major engineering, procurement, and construction contracts, valued at $1.074 billion, to consortia led by Fluor Daniel Corp. and Venezuela's Inelectra/Parsons.

Texaco has authorized two contract awards totaling $1.011 billion for the engineering design, equipment procurement, and construction of oil upgrading facilities in Jose, Venezuela. The upgrading facilities will process the 8�-gravity crude into high value 26�-gravity crude.

Texaco awarded a third contract to develop field production facilities, valued at $62.45 million.

The partners, through their operating company Petrolera Ameriven, are finalizing contract terms and conditions with Fluor Daniel for the crude upgrading facilities and Inelectra/Parsons for field production facilities.

The Orinoco Belt is the largest known hydrocarbon deposit in the world, said Texaco. The Hamaca Project area encompasses some 657 sq km of the Orinoco and is estimated to contain over 30 billion bbl of oil, of which 2.1 billion are recoverable over a 35-year period with current technology. The project is expected to produce 190,000 b/d of crude by 2004.

Texaco holds a 30% interest in the Hamaca project. Its project partners are Petroleos de Venezuela SA, 30%, and Phillips Petroleum Co., 40%.