Pipeline to carry steam for Brazilian oil fields

Brazil's state-owned Petroleo Brasileiro SA (Petrobras) has awarded a $113 million contract to a unit of Skanska AB, Stockholm, for a pipeline to carry steam for injection into oil fields in northeastern Brazil.

Eric Watkins
Senior Correspondent

LOS ANGELES, Oct. 19 -- Brazil's state-owned Petroleo Brasileiro SA (Petrobras) has awarded a $113 million contract to a unit of Skanska AB, Stockholm, for a pipeline to carry steam for injection into oil fields in northeastern Brazil.

The 84-km steam line will extend from the Vale do Acu thermoelectric power plant to the Alto do Rodrigues oil wells in northeast Brazil, where steam will be injected.

Construction is to commence immediately and is scheduled for completion in 18 months. Skanska will provide construction, assembly, and thermal insulation of the entire 3-20-in. surface pipeline along with testing and assistance with startup.

Skanska also has construction under way on a natural gas pipeline in Brazil awarded by Petrobras subsidiary Transportadora Urucu-Manaus in July 2006

Under terms of that $103 million contract, Gasoduto Amazonia Consortium—a joint venture of Skanska and Camargo Correa—is laying a 186-km section of 20-in line between oil and gas fields in Urucu and Manaus, the capital of Brazil's northern Amazonas state. Completion is scheduled for early 2008.

Contact Eric Watkins at hippalus@yahoo.com.

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