Carillion venture wins £80m Oman contract

WOLVERHAMPTON-based construction and support services giant Carillion’s business in Oman, Carillion Alawi, has been awarded a contract by BP worth approximately £80m.

The contract is to build the operational base and accommodation complex for BP’s Khazzan gas project.
 
The contract involves the construction of accommodation facilities, including an operational base, a residential complex for 250 personnel and other infrastructure buildings in the Khazzan gas field, approximately 350km South West of Muscat.
 
Work on the contract is expected to start in September 2015 and is scheduled for completion in mid-2017.
 
Carillion chief executive, Richard Howson, said: ”We are delighted to have been selected by BP for this important contract, which I believe reflects our reputation for safely delivering high-quality, sustainable solutions and we look forward to working with BP in Oman.”

Meanwhile, Carillion has released a half-year trading update covering the first six months of 2015 which suggests performance is in line with expectations.

The company said it has seen a significant increase in first-half revenue with continuing good progress on contract mobilisations and that it is “on track to deliver healthy revenue growth in the full year with profit and earnings in line with expectations”.

Carillion said it has a strong operating cash flow with cash-backed profit and that its order book and pipeline of contract opportunities remains strong, despite the expected impact of the UK General  Election on public sector contract awards in the first six months of the year.

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