Bahrain signed a $355m deal with Japan’s JGC Corp to build the expansion of a gas plant for the Bahrain National Gas Company (Banagas), reported Reuters. The plant needs extra capacity as it is earmarked to accommodate 350mcf of additional associated gas from the Bahraini oilfields.
The Banagas Expansion Project is expected to take 32 months to be ready for a trial run, while operations are planned to begin in September 2018. The plant will be equipped to process dry gas and produce liquefied petroleum gas and naphtha, according to Trade Arabia.
The agreement includes the engineering, procurement, and construction (EPC) of the project. Three international companies had participated in the original tender. The investment is one the largest of its kind for the company. The project is one of many other National Oil and Gas Authority’s (Noga) strategic projects aimed at securing continued economic growth in the country, according to Bahrain’s Minister of Energy Dr Abdul Hussain bin Ali Mirza. This is to be achieved through upgrading the energy sector and creating jobs for Bahrainis.