RasGas signs $ 300 mm expansion agreement with Chiyoda unit

RasGas Company and the Doha-based Chiyoda Almana Engineering, an affiliate of Chiyoda, signed an Engineering, Procurement and Construction Management Services (EPCM) agreement.
The $ 300 mm agreement covers multiple small to medium sized projects in support of the assets related to the seven RasGas LNG trains, its two large sized gas processing plant and other RasGas facilities in Ras Laffan Industrial City.

The term of the agreement is initially for four years plus an option for a further year.
HE Yousef Hussein Kamal, Economy and Finance Minister and RasGas Chairman, said: "The agreement is truly significant as it is evidence of Qatar's determination to complete its massive undertaking in oil and gas expansion projects in order to reach its vision of producing 77 mm tpy of LNG by the end of this decade. It also clearly underlines RasGas' continued commitment to the economic and social development and growth of Qatar."

Under the terms of this EPCM agreement, a master project management team will work closely with the RasGas Capital Projects team to plan and execute all related projects scheduled in the RasGas Annual Work Plan and Budget. RasGas will work closely with the contractor to ensure the safe and efficient execution of projects within budget and on time.
The projects typically cover modification, efficiency improvement schemes and upgrading of equipment.

Hamad Rashid Al Mohannadi, RasGas Managing Director said: "The Engineering, Procurement and Construction Management Services (EPCM) agreement with Chiyoda is a unique contract model signed with one prime contractor for multiple small to medium sized projects within the plant. It enables RasGas to maintain and enhance the reliability, integrity, efficiency, safety and quality of our existing assets in addition to adding new assets to our expansion plan."
He said that the signing of the agreement represented the culmination of an ongoing commercial relationship between the two companies dating back to 2001 when Chiyoda was awarded the first agreement for the onshore facilities of RasGas Expansion Projects.

Takashi Kubota, President and CEO of Chiyoda Corporation said: "I firmly believe that this long term contract represents a further demonstration of the all encompassing scope of our business model, 'Plant Lifecycle Engineering'."
"We are confident that Chiyoda Almana Engineering and Chiyoda will be able to broaden and continue to reinforce our close ties with RasGas and contribute further to the sustainable development of Qatar through our Plant Lifecycle Engineering."