ICA Fluor has secured a fabrication contract to support Shell Canada Energy’s Carmon Creek project in Alberta.
ICA Fluor is the industrial construction joint venture of Empresas ICA and Fluor.
The initial contract awarded to ICA Fluor is worth $264m, and Fluor will book its $132m share in the fourth quarter of 2014.
Under the contract, ICA Fluor will provide modular fabrication and procurement services for 13 well pads for heavy oil extraction at the project.
ICA Fluor will fabricate the modules at the El Empalme yard, which is owned by its subsidiary, Industria del Hierro, situated in Tampico, Tamaulipas, Mexico.
The work is expected to be completed in December 2017.
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By GlobalDataThe project, which is presently under construction in northern Alberta, is estimated to produce around 80,000 barrels per day of heavy oil from Shell’s Peace River operations utilising steam recovery methods.
The contract is the first award in the multi-year frame agreement signed in June 2014 with Shell Global Solutions International US for projects in North America.
It is also the initial fabrication work ICA Fluor/Industria del Hierro will carry out for a project in Canada.
Shell Mexico communications and government relations director Lucía Bustamante said: "This is a great opportunity for ICA Fluor, for Mexico’s labour force and for the Tampico region.
"After a solid certification process, negotiations and several site visits for further assessment, the final outcome is a successful enterprise framework agreement that will add value to the Shell Carmon Creek project."
