Ponticelli Frères SAS has been awarded a new lump sum turn key onshore contract in Nigeria worth approximately 460 million US$ (Ponticelli's share).

The contract has been awarded by Total Exploration and Production Nigeria Limited, acting as Operator for and on behalf of a joint venture presently composed of the Nigerian National Petroleum Corporation and Total Exploration and Production Nigeria Limited, to a consortium comprising Ponticelli, Saipem and Desicon (Ponticelli's share is 40%) for the OML 58 Upgrade Phase 1 Project.
The OML 58 Block is located onshore in Nigeria, approximately 85 kilometres North-West of Port Harcourt in Rivers State, and comprises a Flow Station and a Gas treatment train, with 10.65 MMscm/d gas and 35,000 bop/d oil & condensate capacity.

The contract consists of engineering, procurement and construction. It is aimed at revamping the existing Flow Station, increasing the overall safety of the plant operations, adding a new treatment gas train and new interconnecting pipelines and utilities to increase gas production to 15.65 MMscm/d and 2.5 MMscm/d being dedicated to the Domestic market, and implementing a condensate stabilisation and an upgraded water injection system.

The size of such a project will enable not only to ensure local employment but also to generate numerous actions to the benefit of the local content.

The first portion of activities are scheduled to be completed for early 2011 and the whole contract by mid 2012.

After the successful ROSA project in Angola, OML 58 Upgrade Phase 1, which will require from Ponticelli several millions manhours to be carried out on site under SIMOPS conditions, represents a true challenge for the Company.