Tag Archive | "China"

The latest China – Iraq Business News – Chinese Electricity Company, CNPC, CNOOC, PetroChina & more – brought to you by Iraq Business News

Technip Wins FEED Contract at Rumaila


Technip, in partnership with China HuanQiu Contracting & Engineering Corporation (HQC), has been awarded a front-end engineering design (FEED) contract for the Ar Ratawi Natural Gas Liquids (NGL) train1 project at North Rumaila in Basra.

The deal was awarded by the Basra Gas Company (BGC), a joint venture between the Iraq’s South Gas Company (51%), Shell (44%) and Mitsubishi (5%).

The project is the first of the new greenfield associated gas processing facilities that will significantly minimize gas flaring in Iraq and make more energy resources available for power and domestic use– an NGL train with nominal feed gas capacity of 530 million standard cubic feet per day. The standalone facilities will produce liquefied petroleum gas (LPG), NGL and condensate for domestic markets.

The scope of work covers the basic engineering design package of the NGL process units, utilities and the submission of an engineering procurement and construction (EPC) package.

Technip’s operating center in Abu Dhabi will execute the project, scheduled to be completed by the end of 2014.

Vaseem Khan, President of Technip in the Middle East, declared:

This award reflects Technip’s strengthened position in the Middle-East market, following several previous awards. We are proud to bring our specific technological edge and licensed innovative solutions to the downstream industry, while leveraging our 30 years presence in the region.

(Source: Technip)

Posted in Construction & Engineering, Oil & GasComments (0)

Lucky Cement Starts Production in Iraq


By John Lee.

Pakistan’s Lucky Cement has started production in Iraq from February of this year, in a 50/50 joint venture with the Al-Shawy family.

The company’s CEO, Muhammad Ali Tabba (pictured), told Dawn that a total of $40 million has been invested in the grinding mill in Basra, which has a capacity of 3,000 tonnes per day, servicing the Southern Iraq market which has a very high demand for sulphate resistant cement (SRC).

He said the project was challenging, as getting human as well as material resources on site proved complicated due to various reasons including government regulations, market structure and support infrastructure weakness, etc.

“It’s the first phase of development and if we succeed in our projections, we may go for a full cement production line of 1.25m tonnes which may cost around $125m,” he said.

He described Basra as safer and politically more stable than the rest of Iraq in general, and Baghdad in particular.

The country is currently producing around 16 million tonnes of cement and consuming around 24m tonnes, with around 80 per cent of its cement imports coming from Iran.

France’s Lafarge is the market leader in Iraq with 50 percent market share, and there are three or four Chinese cement manufacturers, in addition to “from three to four” (sic) government-owned cement plants.

(Source: Dawn)

Posted in Construction & EngineeringComments (0)

First of 10 New Fast Trains Ready for Shipment


By John Lee.

China’s Dongfang Electric Corp. has completed the first of 10 high speed, desert modified diesel trains at a ceremony attended by Iraq’s ambassador to China, Railway Gazette reports.

The trains were ordered in 2012, a year after Iraq announced plans for a Basra to Baghdad high speed rail route, an initiative that does not seem to have materialized.

But the ten new trains, capable of 160 km/h, will bring the dream of a regular fast service between Basra and Baghdad closer to reality.

Each “train set” comes with two diesel engines and eight carriages with a capacity of almost 400 passengers and will be run by Iraqi Republic Railways.

Perhaps it is with sensible foresight that in addition to on board fault diagnostic systems, each train has been specially modified to cope with Iraq’s notoriously dusty conditions.

(Source: Railway Gazette)

 

Posted in TransportationComments (0)

Tadano Delivers Seven Cranes


Iraq’s Ministry of Water Resources has taken delivery of seven 55-tonne GT-550E-2 truck cranes from the Japanese company Tadano, via its distributor, United Iraqi Trading Equipment (UITECO).

Manufactured by Tadano’s Beijing manufacturing joint venture BQ-Tadano, the four axle GT-550 features a five section 42 metre boom plus a 8.8 to 15.2 metres bi-fold swingaway that takes maximum tip height to 56 metres. Capacity on the fully extended main boom is eight tonne and it can handle 500kg at a radius of 38.1 metres.

The cranes have been purchased for various departments within Iraq’s Ministry of Water Resources with three being sent to the General Commission for Operation of Irrigation & Drainage, two to the General Commission for Groundwater, one to the State Commission for Dams & Reservoirs and the final one to the Department of General Estuary.

(Sources: Vertikal, Tadano)

Posted in Construction & EngineeringComments (0)

Gazprom Neft Produces First Oil at Badra


By John Lee.

Gazprom Neft, operator of the Badra oilfield, has reported the successful completion of well-testing at its BD4 appraisal well at the end of December, 2013.

Potential production capacity was tested through the sequential testing of six drilled strata, followed by final testing of all pay horizons concurrently. A daily natural flow rate of 7,000 barrels of oil was recorded.

Testing continues at two other drilled wells within the same field. 2014 will also see work begin on the drilling of six production wells under the company’s contract with China’s ZPEC.

The infrastructure necessary to bring the field into commercial production in 2014 is also nearing completion. Work also continues on the construction of a 170,000 bpd central gathering facility: the first line of which, with a capacity of 60,000 bpd, will come on-stream in the near future. Preparations for the construction of a 1.5 million cubic meter annual capacity gas conversion plant are also underway and work to connect the field to Iraq’s main pipeline network is also nearing completion.

Vadim Yakovlev, First Deputy CEO of Gazprom Neft commented:

With well testing completed we are one step closer to beginning commercial production at the Badra field. Since beginning development — practically from scratch — just three years ago, a Gazprom Neft-led consortium has completed a major project in establishing all the facilities necessary for large-scale production at Badra, and this will begin as early as this year.

(Source: Gazprom Neft)

Posted in Oil & GasComments (9)

Chinese Firm Suspected of Fraud


By John Lee.

China’s Caixin has reported that the Missan Oil Company (MOC) has suspended all activities of a company called Hermic, an oilfield service company controlled by former executives of the China National Petroleum Corp. (CNPC).

Hermic is said to have won at least 12 engineering outsourcing contracts worth US$75 million from CNPC at the Halfaya oil field; the total value of contracts outsourced by the CNPC’s Halfaya operation to Hermic and its affiliated companies is estimated to reach US$115 million, a figure that apparently prompted fraud suspicions.

Caixin found that the sole shareholder of Hermic, Li Wei, is also the chairman of Hong Kong-registered DRK Energy, which has a US$20 million contract in Halfaya. Another company related to Li is Hong Kong-registered Power Petroleum Int., a company that has won more than US$20 million in service contracts on the same project. Altogether, the three companies have received about US$115 million worth contracts at Halfaya.

Three of the contracts are valued at between US$ 8 million and US$ 9 million, and are so similar that they have been described as “actually one contract … split into three smaller contracts in order to avoid regulations.

Hermic is alleged to have provided fake documents to secure contracts, and is said to be “a shell company registered in Las Vegas … The registration date is May 2010, about when CNPC entered Halfaya.

(Source: Caixin)

Posted in Oil & Gas, SecurityComments (1)

China Consolidates Position in Iraqi Petroleum Sector


By Ahmed Mousa Jiyad.

Any opinions expressed are those of the author, and do not necessarily reflect the views of Iraq Business News.

China and CNPC are Consolidating Further their Positions in Iraq Petroleum Sector

Four years after the first bid round took place, some international oil companes (IOCs) are consolidating their positions. while others are descending after good start, and some were even unable to make an entry. CNPC stands among the first group, while ExxonMobil exemplifies the second group, and companies such as Chevron, Repsol and Conoco Phillips fall into the third group.

In a previous paper I addressed how Russia has entrenched and solidified its role in the Iraqi petroleum sector. This paper is mainly about CNPC’s path to consolidating its presence in this sector.

Please click here to read Ahmed Mousa Jiyad’s report.

Mr Jiyad is an independent development consultant, scholar and Associate with Centre for Global Energy Studies (CGES), London. He was formerly a senior economist with the Iraq National Oil Company and Iraq’s Ministry of Oil, Chief Expert for the Council of Ministers, Director at the Ministry of Trade, and International Specialist with UN organizations in Uganda, Sudan and Jordan. He is now based in Norway (Email: mou-jiya@online.no, Skype ID: Ahmed Mousa Jiyad).

Posted in Ahmed Mousa JiyadComments (5)

ExxonMobil Sells Stakes in West Qurna I


By John Lee.

ExxonMobil signed agreements on Thursday with PetroChina for a 25 percent participating interest in the West Qurna I project in Iraq, and with Indonesia’s Pertamina for a 10 percent participating interest in West Qurna I.

ExxonMobil retains 25 percent interest and remains lead contractor.

The transfer has been approved by the South Oil Company, Oil Exploration Company of the Iraqi Ministry of Oil and Shell West Qurna B.V., as members of the West Qurna I contractor consortium.

China is already the top foreign player in Iraq’s oilfields.

(Source: ExxonMobil)

(Picture: Rex Tillerson, chairman, president, and CEO of Exxon )

Posted in Oil & GasComments (5)

IBN Newsletter 'FREE Weekly Subscription'

wyg.com