Bid target John Wood Group PLC (LSE:WG.) has picked up a new US$46 million, three-year contract with French oil giant TotalEnergies in Iraq.
Wood will provide front-end engineering design (FEED) for the first phase of the Associated Gas Upstream Project, part of the Gas Growth Integrated Project (GGIP) in Southern Iraq.
The GGIP includes the recovery of gas currently flared in the Basrah region to supply power generation plants, along with the construction of a seawater treatment unit and a 1GW solar power plant.
Shaun Dewar, Wood’s senior vice president of operations, Middle East and Africa said: “This project will improve environmental sustainability through emissions reduction efforts.”
Wood said the contract would create 100 new roles in Basrah and Dubai, adding it currently employs over 1,300 people in Iraq and the UAE.
The group has recently received several bid approaches from Dubai-based engineering group Sidara, with what was described as a final offer a week ago pitched at 230p a share.
Sidara has been granted access to the books for due diligence with a put-up-or-shut-up (PUSU) deadline of 5pm on 3 July.
Shares in Wood eased 0.9% to 198.9p.