Weir Group secures £59m Iraq oilfield deal
Engineering firm Weir Group has secured a £59m contract to provide maintenance services for a major oilfield in southern Iraq.
The two-year agreement with Lukoil Oil Company covers the undeveloped West Qurna-2 oilfield.
The contract will see Weir engineers deliver mechanical, electrical, maintenance and pipeline services.
The oilfield's processing facility is expected to start operations in the first half of this year.
The Mishrif central processing plant at West Qurna-2 will initially produce 150,000 barrels of oil per day, increasing to 400,000 by the end of 2014.
Glasgow-based Weir said it had already invested nearly £5m in establishing a service centre in the Iraqi city of Basra.
Weir chief executive Keith Cochrane said: "This substantial contract demonstrates the importance of Weir's long experience of working in Iraq and our reputation for delivering high-quality engineering services in support of the country's developing oilfield infrastructure.
"It also reflects our global capability, a key strength of our group which allows us to capture opportunities in high growth markets and be a partner of choice to our worldwide customers."