BP lets contracts for Rumaila rehab work

By OGJ editors
HOUSTON, Apr. 5 -- BP PLC has awarded the first major contracts for rehabilitation of supergiant Rumaila oil field in southern Iraq.

BP, with a 38% interest, leads a group with a technical services contract to nearly triple Rumaila production to 2.85 million b/d (OGJ Online, Nov. 3, 2009). Its partners are China National Petroleum Corp., 37%, and the Iraqi government through State Oil Marketing Organization, 25%.

BP let contracts worth about $500 million to three firms for drilling. Schlumberger, in partnership with Iraqi Drilling Co., received a contract for three rigs; Daqing Drilling a contract for three rigs; and Weatherford a contract for one rig.

The rigs will supplement drilling under way at Rumaila by Iraqi Drilling and Weatherford. BP said it expects 70 wells to be drilled in the field this year.

The operator let contracts worth a total of $100 million to Centrilift, Al Khorayef Petroleum of Saudi Arabia for supply and installation of electrical submersible pumps and associated services and to Cameron for associated trees and wellheads.