International Pipeline Construction Report

By Rita Tubb, Managing Editor | November 2010, Vol. 65 No. 11

Work is scheduled by China Petroleum Engineering and Construction Corp. on a 487-mile crude oil export line that will link the UAE’s emirates of Abu Dhabi and Fujairah. The International Petroleum Investment Co., which manages global energy investments in excess of $10 billion for the Abu Dhabi government, appointed WorleyParsons Ltd. to carry out the front-end engineering design on the Abu Dhabi Crude Oil Pipeline, or ADCOP project. Completion is scheduled in August 2011.

South & Central America And The Caribbean
This region is starting to see an upturn in construction. Several significant projects are in various stages of construction and South America recently saw its first LNG facility inaugurated. At US$3.8 billion in investment, PERU LNG’s plant is located in the remote Pampa Melchorita area, 170 km south of Lima, and has a capacity of 4.5 Mt/a. Gas will be transported to the plant via a 408-km branch pipeline connecting to the existing Transportadora de Gas del Peru SA, (TgP) pipeline stretching from Camisea to Lima.

Four companies form the PERU LNG consortium set up to develop, build and operate Peru LNG: Hunt Oil Company with a 50% participating interest; SK Energy of South Korea with a 20% participating interest; Repsol of Spain, also with a 20% participating interest; and Marubeni Corporation of Japan, with a 10% participating interest.

Work is slated to start soon on the 674-mile South Andean Pipeline. Peru gave Kuntur Transportadora de Gas, an affiliate of U.S.-based Conduit Capital Partners, the concession to build the gas pipeline and to transport gas in the southern region. Brazil’s construction company, Odebrecht, has joined Kuntur in building the line. Commercial operations are scheduled in 2012.