NIGC lets contract to Costain for Iranian gas plant

June 28, 2005
National Iranian Gas Co. has awarded a $1.6 billion contract for construction of the Bid Boland II gas processing plant in southwestern Iran to a joint venture led by Costain Oil, Gas & Process Ltd., an affiliate of the Costain Group PLC, Manchester, UK.

By OGJ editors
HOUSTON, June 28 -- National Iranian Gas Co. has awarded a $1.6 billion contract for construction of the Bid Boland II gas processing plant in southwestern Iran to a joint venture led by Costain Oil, Gas & Process Ltd., an affiliate of the Costain Group PLC, Manchester, UK.

The 4-year project will begin immediately and involve partners Actividades de Construccion y Servicios SA unit Dragados and Iranian companies Sazeh Consultants and Jahanpars, Ahwaz.

The plant, in Khuzestan Province 15 km from Behbahan City, will process up to 2 bcfd of sweet and sour associated gas plus condensates and LPG.

The plant's treated gas will be fed into the national IGAT (Iran Gas Trunkline) pipeline network, while ethane will serve as feedstock to the nearby Arvand petrochemical complex. The LPG will be stored in a storage facility to be built at Mahshahr, 100 km away, and exported for sale.

Costain built the Bid Boland I gas plant, which has been processing 800 MMcfd of associated gas since the early 1970s.