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ShawCor pipeline coating division wins $200M in contracts with BP Exploration

The Canadian Press

TORONTO - ShawCor Ltd. (TSX:SCL) says its Bredero Shaw pipe coating division has received contracts worth US$200 million from BP Exploration (Shah Deniz) Ltd.

Under the contact, which begins later this year and continues until 2018, the company will provide pipeline coating and other services in connection with the Shah Deniz Stage 2 gas development project in the Caspian Sea.

In addition to the contracts, Bredero Shaw is also bidding on other jobs related to the second stage of the Shah Deniz project which will add 16 billion cubic metres per year of gas production to the approximately nine billion per year produced by Shah Deniz Stage 1.

The project will see the transfer of gas from the Caspian Sea to Europe via a 3,500-kilometre pipeline.

ShawCor provides pipeline products and services to the oil and gas industry.