MONTREAL, March 25, 2010 /CNW Telbec/ - SNC-Lavalin is pleased to announce that it has been awarded a contract by the Venezuelan Petroleum Corporation - CVP, a subsidiary of Venezuela's state-owned oil company, Petróleos de Venezuela S.A. (PDVSA), for the visualization, conceptual and basic engineering phases for the production facilities and upgrading of extra heavy oil in the Orinoco Oil Belt Blocks. This is the first of several expected Work Authorizations under the contract signed with CVP.
As part of this contract, SNC-Lavalin will prepare a Master Plan to develop projects in the Carabobo and Junin Blocks of the Orinoco Oil Belt. Later the Master Plan will be extended to the whole Orinoco Oil Belt. The plan will include an integral study of the supply, transportation and storage of diluents; electrical power supply; gas management; management, transportation, storage and shipping of diluted crude and non-oil work that supports the project's viability.
"This contract highlights SNC-Lavalin's expertise in the front-end planning and design of heavy oil production, processing and handling facilities", said Jean Beaudoin, Executive Vice-President, SNC-Lavalin Group Inc. "PDVSA has been an important client for SNC-Lavalin for more than 12 years and we are pleased to play a key role in the strategic development of Venezuela's oil resources for their people."
SNC-Lavalin will execute the services under this contract in consortium with Y&V Engineering and Construction and Albatroz Engineering (Consortium VENCAN). Both are local Venezuelan companies that bring local engineering capabilities and expertise to the project.
The Orinoco Oil Belt, located north of the Orinoco River, holds significant reserves of heavy oil, and it is PDVSA's strategic area of focus for development to enhance its oil production.
SNC-Lavalin (TSX:SNC) is one of the leading engineering and construction groups in the world and a major player in the ownership of infrastructure, and in the provision of operations and maintenance services. SNC-Lavalin has offices across Canada and in over 35 other countries around the world, and is currently working in some 100 countries. www.snclavalin.com
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