Mott MacDonald Signs Lease Agreement to Move Southern Iraq Operations to Iraq Energy City

May 16, 2011 - PRLog -- BASRA, IRAQ and DUBAI, U.A.E -- (May 16th, 2011) – Mott MacDonald, a diverse management, engineering and development consultancy delivering solutions for public and private clients world-wide, and Petronor FZE, an oilfield services and infrastructure company operating in Iraq, announced today they have signed a Lease Agreement for Mott MacDonald to base their Southern Iraq operations from Iraq Energy City, a next-generation oilfield services supply base located near Basrah. Already located in Basra, Mott MacDonald provides Engineering and support services to the major oil and gas companies in the region. Finding a secure, shared-cost base with easy access to the Basra area was one of the challenges that has now been solved.

“We were looking for a new option for our offices and accommodation in Basra. We needed to be closer to our clients as travel times were quite long and security was always an issue,” said Mr. Charles Ellinas, Managing Director Mott MacDonald Oil, Gas and Petrochemicals. “Fortunately, Iraq Energy City has provided a unique and convenient solution.”

The lack of secure, accessible working areas and accommodations in the Basra region has been an ongoing concern of the Iraq Ministry of Oil. They have promoted Iraq Energy City as a way to reduce the high start-up costs and lower the barriers to entry as the oil and gas industry in Basra undergoes an oil rush unlike anything seen in recent times. With a solid infrastructure in place and a priority focus on security, Iraq Energy City is poised to become a key base for oilfield supplies and support services.

“We are delighted to welcome Mott MacDonald to Iraq Energy City as one of the first major companies,” said Peter Day, CEO Petronor. “By offering strong support services, a secure environment and easy access to the entire region, we are sure that Mott MacDonald and other international companies will enjoy calling Iraq Energy City their home in Basra.”

Iraq Energy City is coming online at a very opportune time. Iraq has already awarded contracts worth up to $50 billion to companies such as ExxonMobil, Shell, BP and Eni to develop fields in the Basrah area, and with several more on the way there are indications that Basrah could become one of the most exiting upstream destinations over the next two decades. Furthermore, Mott MacDonald’s solid reputation of serving major oil and gas companies in the Basra region is expected boost the profile of Iraq Energy City, which has already received strong interest from energy and oilfield support companies.

“As the first main service company to the oil and gas industry in Basra, this is of major importance to us and the industry tends to like to stick together in challenging environments, as we profit from the lower costs, improved security, and unhindered access to both clients and suppliers,” said Mr. Taylor., Iraq Country Manager Mott MacDonald Oil, Gas and Petrochemicals.

At the recent 2010 Basra International Oil & Gas Conference, the Petronor booth showcasing Iraq Energy City was visited by representatives from a wide-array of energy companies looking for a place to start-up their Basra-based businesses.

“Now that Iraq Energy City is close to accepting the first tenants and able to provide short lead-times to start operations or simply securing worry-free, easy-access housing for oilfield personnel,” said Hans Hoiskar, General Manager of Petronor Iraq, “we are finding that companies are more and more interested in securing their place at the base.”

About Iraq Energy City

The Iraq Energy City base is located on 300,000 sq meters of land leased by Petronor from the South Oil Company (SOC), and is near both Gate 2 of the SOC’s Bergessia Base and the Basrah airport. With an effective 40-year lease, Petronor has been developing the base in a logical sequence from temporary, secure units, villas, warehouses and workshops to the eventual development of permanent structures such as office buildings, hotels and recreational centers with an emphasis on enhancing the living experience. With a future capacity for more than 5,000 residents, Iraq Energy City will expand the traditional role of an oilfield supply base by placing an emphasis on the "living experience".  Above all, it will provide an ideal location from which international companies can base their operations.

About Mott MacDonald

The Mott MacDonald Group is a diverse management, engineering and development consultancy delivering solutions for public and private clients world-wide. Mott MacDonald's uniquely diverse £1 billion global consultancy works across 12 core business areas. As one of the world's largest employee-owned companies with over 14,000 staff, we have principal offices in nearly 50 countries and projects in 140.

About Petronor

Petronor, http://www.petronorgroup.com/, is a privately owned company with headquarters in Dubai, UAE. The company was founded in 2001 and provides services to the oil and gas industry in Iraq from its offices in Baghdad and operating bases at Baghdad International Airport and Iraq Energy City, Basrah.


Contact Information:

Petronor
Emirates Towers
Sheik Zayeed Road
Dubai
ph: +971 4 319 7428
fax: +971 8 448 9752

info@petronorgroup.com

Mott MacDonald Group Limited
Registered in England: Number 1243967
Registered office: Mott MacDonald House,
8-10 Sydenham Road
Croydon,
Surrey CR0 2EE
United Kingdom

charles.ellinas@mottmac.com

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Petronor, www.petronorgroup.com, is a privately owned company with headquarters in Dubai, UAE. We provide services to the oil and gas industry in Iraq from our offices in Baghdad and operating bases at Baghdad Int'l Airport and Iraq Energy City, Basrah.