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Monadelphous Jacobs joint venture receives LOI from Oil Search

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LNG Industry,

Monadelphous Group Ltd has announced that, in joint venture with Jacobs Engineering Group Inc., it has received a letter of intent (LOI) from Oil Search Ltd to enter into a new proposed five-year engineering, procurement and construction (EPC) contract for services on Oil Search’s oil and gas production facilities in the Highlands region of Papua New Guinea (PNG).

Under the US$50 million/yr contract, the joint venture will provide a range of brownfield project services, including engineering, procurement, civil, mechanical and electrical works on pipelines, utilities, facilities and supporting infrastructure. Work is scheduled to begin in 2Q17.

The partnership combines Jacobs’ technical engineering capability with Monadelphous’ in-field services. Monadelphous claims that this will lead to productivity enhancements and cost savings for Oil Search, through optimised constructability input during design and a streamlined handover to site.

The Managing Director of Monadelphous, Rob Velletri, said: “The proposed contract represents a new chapter in our relationship with Oil Search, moving towards the provision of end-to-end brownfield project delivery in joint venture with Jacobs. It also reflects our position as a leading maintenance and brownfield project service provider in PNG with a strong safety record and local content strategy.”

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