Chinese contractor China Petroleum Engineering & Construction Corporation (CPECC) has received a letter of award from TotalEnergies for the Ratawi gas processing plant in Iraq, securing its first direct engineering, procurement, supply, construction and commissioning (EPSCC) contract from the French company.
The project, located at the Ratawi oilfield 60 kilometers west of Basra, will cover 800,000 square meters and is designed to process 3.3 billion cubic meters per annum of associated gas, according to a post on CPECC’s official WeChat account.
Parent company PetroChina Engineering in another release said that the contract is valued at $1.601 billion.
Scheduled for completion in 39 months, the project's scope includes a complete gas processing train, a 140-megawatt power station and associated utilities.
CPECC said the Ratawi facility represents the most technically complex and performance-intensive gas processing plant that the company will undertake independently.
As a flagship element of TotalEnergies’ broader investment strategy in Iraq, the Ratawi project is expected to reduce gas flaring in the country’s south and produce natural gas, liquid petroleum gas, light hydrocarbons and sulphur once operational, CPECC said.