Drake & Scull International has clinched a AED 226mn ($61.5mn) engineering, procurement and construction (EPC) contract for a water injection project in Iraq, taking contract wins to AED 570mn so far this year.
The Dubai-based firm will build the facility for Italian oil and gas company ENI at the Zubair oil field in Basra.
Under the deal, Drake and Scull will oversee the EPC of a gas supply pipeline system to a power plant in addition to water injection systems consisting of flow lines, trunk lines, manifolds stations and wellheads hook-up work to enhance oil recovery.
Work on the project has started and is scheduled to complete in early 2018.
Wael Allan, Chief Operating Officer (COO) of Drake & Scull International, said: Drake & Scull Oil and Gas continues to achieve substantial progress and has gained a noticeable foothold in the oil and gas infrastructure construction sector in the MENA region in short period.
The contract award has also raised DSIs total project wins to AED 570 million in very challenging circumstances. We are confident that our high margin businesses including Oil & Gas, Rail & Infrastructure and Engineering will significantly contribute to our sustainable growth, in line with our strategy of focusing on profitability and cash generation.
Fares Khatib, Managing Director of Drake and Scull Oil & Gas added: The Zubair oilfield contract is a positive development for DSOG, particularly as it represents our second collaboration with EIBV.
EIBV had previously awarded DSOG the EPC pipeline installation contract for the Zubair oil field in 2012 which was successfully completed in 2015 on the strength of our in-house engineering management, procurement and construction capabilities.