OREANDA-NEWS. November 08, 2011. The Council of Ministers of the Syrian Arab Republic approved a Supplementary Agreement to the Contract for the North and South Middle Area Gas Exploitation Project signed earlier by Sergey Makarov, Chairman of the Management Board of Stroytransgaz, and Husein Wadaa, General Manager of Syrian Gas Company. The Supplementary Agreement provides the higher contract price and the extended contract terms.

“We realized the necessity of the contract terms revision long ago”, announced Sergey Makarov, Chairman of Stroytransgaz Management Board. “The need to update the project in the process of its implementation, the global financial crisis, the incessant growth of the equipment prices in the world market, the political and economic instability have made us change the terms of the contract previously concluded between our companies. We are glad we have found the mutually beneficial solutions.”

The head of the company also announced that Stroytransgaz would perform all the contract obligations despite the entanglement in the result of the grave political crisis in Syria. “I would like to point out that the safety of the company’s employees is our top priority. We take all the necessary measures to provide it”, said Mr. Makarov.

Background
PJSC Stroytransgaz is one of those few Russian companies, having a considerable experience in working overseas, including the countries of the Middle East, North Africa, and the Gulf. Stroytransgaz has been working in Syria since 2000 and has already performed the contracts for the construction of the Arab Gas Pipeline 319 km long, and the South Middle Area Gas Exploitation Project.

In 2007, Stroytransgaz and Syrian Gas Company concluded the EPC-contract for the North and South Middle Area Gas Exploitation Project. The capacity of the gas processing plant will be 1.3 м³/year of purified gas, 41,600 tons/year of liquefied propane-butane, and 136,200 м³/year of condensate. The gas processing complex is located 75 kilometers to the southeast of Al-Rakka and 205 kilometers to the east of Homs, in the area where Syria’s larger hydrocarbon fields are concentrated. The scope of work includes the development of several gas fields: West Twinan, Twinan, Al Gour, East Al Akram, and Al Harith.