Powered by Business Wire
Search Results for Topix.net

Foster Wheeler-Led JV Awarded Feed Contract for Nafusah Onshore Oilfield Development in Libya

ZUG, Switzerland--(BUSINESS WIRE)--Foster Wheeler AG (Nasdaq:FWLT) announced today that a subsidiary of its Global Engineering and Construction Group, in joint venture with Taknia Libya Engineering Company (Taknia), has been awarded a front-end engineering design (FEED) contract by Nafusah Oil Operations B.V. Libyan Branch for an onshore oilfield development, known as the Area 47 Development Project in Libya. Area 47 (North Hamada Field) is located in the Hamada region, approximately 200 km south of Tripoli, in the Ghadames Basin.

“Taknia Libya Engineering Company looks forward to the joint execution of this FEED project with Foster Wheeler”

The Foster Wheeler contract value was not disclosed and will be included in the company’s second-quarter 2014 bookings.

The planned development will consist of approximately 34 producing wells, including eleven existing wells and approximately 23 new wells, flow-lines and a common gathering trunk-line to transport the well fluids to the central gas oil separation facility for primary treatment. After separation, the oil and gas produced will be exported through new pipelines that will be connected into existing pipelines carrying products to the Mellitah delivery terminal, in the northwest of Libya, on the Mediterranean Sea, for export. The planned design capacity of the gas oil separation facility is 50,000 barrels per day (BPD) of oil, 90 million standard cubic feet per day of gas and associated water (to be re-injected into the reservoirs).

“Foster Wheeler has been involved in the Area 47 Development Project for some time, having completed the conceptual study in 2012 and worked on the FEED definition in 2013,” said Roberto Penno, Chief Executive Officer, Foster Wheeler Global Engineering and Construction Group. “Area 47 is located in a relatively remote part of Libya, so the facilities are being designed on a modular basis in order to minimize on-site construction and installation activities, and to accommodate future expansion.”

“Taknia Libya Engineering Company looks forward to the joint execution of this FEED project with Foster Wheeler,” said Tayeb Said, Managing Director, Taknia Libya Engineering Company. “We hope this partnership will open the door for more co-operation between the two parties to execute more projects in the Libyan market and more significantly help enhance the technology transfer program that Taknia is implementing.”

“To achieve first oil production by the end of 2016, Nafusah is looking forward to have this FEED project completed on schedule or even before in order to start the second phase of the project as early as possible in 2015,” said Mohamed Jamaleddin, Chairman of the Operating Management Committee, Nafusah Oil Operations B.V. Libyan Branch. “We trust that the in-depth technical expertise of the Foster Wheeler and Taknia joint venture will ensure the successful and safe delivery of a high quality project for Nafusah.”

Nafusah Oil Operations was formed as a joint operating company by PT Medco Energi Internasional, through its subsidiary Medco International Ventures Limited (MedcoEnergi), of Indonesia, with its partners, the National Oil Corporation of Libya and the Libyan Investment Authority. Nafusah Oil Operating Company will act as the operator for the development and production phases of Area 47.

Foster Wheeler AG is a global engineering and construction company and power equipment supplier delivering technically advanced, reliable facilities and equipment. The company employs approximately 13,000 talented professionals with specialized expertise dedicated to serving its clients through one of its two primary business groups. The company’s Global Engineering and Construction Group designs and constructs leading-edge processing facilities for the upstream oil and gas, LNG and gas-to-liquids, refining, chemicals and petrochemicals, power, minerals and metals, environmental, pharmaceuticals, biotechnology and healthcare industries. The company’s Global Power Group is a world leader in combustion and steam generation technology that designs, manufactures and erects steam generating and auxiliary equipment for power stations and industrial facilities and also provides a wide range of aftermarket services. The company is based in Zug, Switzerland, and its operational headquarters office is in Reading, United Kingdom. For more information about Foster Wheeler, please visit our website at www.fwc.com.

Safe Harbor Statement

Foster Wheeler AG news releases may contain forward-looking statements that are based on management’s assumptions, expectations and projections about the Company and the various industries within which the Company operates. These include statements regarding the Company’s expectations about revenues (including as expressed by its backlog), its liquidity, the outcome of litigation and legal proceedings and recoveries from customers for claims and the costs of current and future asbestos claims and the amount and timing of related insurance recoveries. Such forward-looking statements by their nature involve a degree of risk and uncertainty. The Company cautions that a variety of factors, including but not limited to the factors described in the Company’s most recent Annual Report on Form 10-K for the year ended December 31, 2013, which was filed with the U.S. Securities and Exchange Commission on February 27, 2014, and the following, could cause the Company’s business conditions and results to differ materially from what is contained in forward-looking statements including: the timing and success of the proposed offer and acquisition of the Company by AMEC plc, the risk that the Company’s business will be adversely impacted during the pending proposed offer and acquisition of the Company by AMEC plc, benefits, effects or results of the Company’s redomestication to Switzerland, deterioration in global economic conditions, changes in investment by the oil and gas, oil refining, chemical/petrochemical and power generation industries, changes in the financial condition of its customers, changes in regulatory environments, changes in project design or schedules, contract cancellations, the changes in estimates made by the Company of costs to complete projects, changes in trade, monetary and fiscal policies worldwide, compliance with laws and regulations relating to the Company’s global operations, currency fluctuations, war, terrorist attacks and/or natural disasters affecting facilities either owned by the Company or where equipment or services are or may be provided by the Company, interruptions to shipping lanes or other methods of transit, outcomes of pending and future litigation, including litigation regarding the Company’s liability for damages and insurance coverage for asbestos exposure, protection and validity of the Company’s patents and other intellectual property rights, increasing global competition, compliance with its debt covenants, recoverability of claims against the Company’s customers and others by the Company and claims by third parties against the Company, and changes in estimates used in its critical accounting policies. Other factors and assumptions not identified above were also involved in the formation of these forward-looking statements and the failure of such other assumptions to be realized, as well as other factors, may also cause actual results to differ materially from those projected. Most of these factors are difficult to predict accurately and are generally beyond the Company’s control. You should consider the areas of risk described above in connection with any forward-looking statements that may be made by the Company. The Company undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise. You are advised, however, to consult any additional disclosures the Company makes in proxy statements, quarterly reports on Form 10-Q, annual reports on Form 10-K and current reports on Form 8-K filed with or furnished to the Securities and Exchange Commission.

Contacts

Foster Wheeler AG
Media and Investors
Scott Lamb, +1 908-730-4155
scott_lamb@fwc.com
or
UK Media
Anne Chong, +44 118 913 2106
Anne_chong@fwuk.fwc.com
or
Other Inquiries
+1 908-730-4000
fw@fwc.com