PetroVietnam's gas unit PV Gas on Saturday awarded an engineering, procurement and construction contract for part of the giant Nam Con Son-2 gas pipeline project to a PetroVietnam Construction-led contractor consortium, a PV Construction official said Sunday.
The Nam Con Son-2 gas pipeline project includes a 293 km pipeline connecting gas fields in the Nam Con Son Basin, offshore southern Vietnam, with an onshore gas processing plant in the southern province of Ba Ria Vung Tau, and an onshore pipeline distribution system. Of the 293 km, 255 km of the pipeline is offshore.
The project is estimated to cost $1.2 billion, and be put into operation in 2014.
The Nam Con Son-2 pipeline will run parallel to the Nam Con Son-1 pipeline project, which was completed in 2003 and has a capacity of 19.3 million cu m/d (681,500 Mcf/d). The Nam Cons Son-1 pipeline mainly transports gas from blocks 06.1 and 11.2 in the Nam Con Son Basin.
The contract, worth $441 million, is for the construction of the 20 million cu m/d gas processing plant and onshore pipeline system, the official said. PV Gas is yet to award a contract for the construction of the offshore section of the pipeline. The onshore pipeline system includes: 30 km of pipeline to transport dry gas from the gas processing plant to the Phu My gas distribution center in Ba Ria Vung Tau; 25 km of pipeline to transport LPG from the gas processing plant to the Phu My gas distribution center; and 25 km of pipeline transporting condensate from the gas processing plant to the Thi Vai terminal in Ba Ria Vung Tau, said the official.
The 293 km pipeline, with a capacity of 7 billion cu m/year, or 19.2 million cu m/d, will transport gas from the Hai Thach, Moc Tinh, Thien Ung and Mang Cau fields in the Nam Con Son Basin for processing at the gas processing plant.
Additionally, it will be designed to transport gas imported from other countries in the region if Vietnam were to sign such gas purchase agreements with its neighbours, according to PetroVietnam Engineering, a subsidiary of PetroVietnam. PVE is in charge of designing the pipeline project.
The Hai Thach, Moc Tinh, Thien Ung and Mang Cau fields are expected to supply around 1.5 billion cubic meters/year of gas in 2013. This will rise to 2.8 Bcm/year in 2014 and 3.09 Bcm/year over 2017-2024, according to the Vietnam News Agency.
