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business & labor
RECONSTRUCTION
Bechtel Awards Subcontracts But Iraq Work Slowed By Storms
 
By Sherie Winston, with Mary B. Powers

Adverse weather has caused minor delays for Bechtel National Inc. as the San Francisco-based firm begins rebuilding war-torn Iraq. But Bechtel has awarded its first two subcontracts under a $680-million capital construction contract received from the U.S. Agency for International Development on April 17.

Stormy seas have made it impossible for a dredge to travel to Umm Qasr seaport from Bahrain. The dredge, owned by Great Lakes Dredge and Dock Co., Chicago, is expected at the port within a week, Bechtel officials said April 29. A survey ship already is in the water and surveyors are assessing damage to the harbor. The port is a top priority for relief agencies that are working to bring food and grain to the country.

Another priority is restoring power to Baghdad. Bechtel and USAID officials met April 28 in Basara with Iraqi powerplant managers to determine the most efficient way to bring electric power from less-damaged southern plants to Baghdad, where damage was greater. "The powerplants are still operative, so if we can restore those [high-voltage 400-kv power lines], it will help get additional power to Baghdad," says Bechtel spokesman Howard N. Menaker. Officials also are working to restore power to the drinking water supply facilities.

Engineers also have performed a preliminary assessment of damage to Mosul Bridge, a key route to the north.

Bechtel will need help performing all the work and has pledged to award competitive subcontracts to firms around the globe. The first two subcontracts have gone to British firms. Olive Security Ltd. won an award to provide security services during the "prepositioning and fact-finding phases" of the work. It will help assure the safety of Bechtel personnel, says Menaker. Olive has an existing agreement with Bechtel and the subcontract was not awarded competitively. ArmorGroup won a competitive bid to provide advisory services with regard to unexploded ordnance.

Separately, Fluor Corp., Aliso Viejo, Calif., has formed a joint venture with AMEC plc, London, to pursue a contract to rebuild Iraq's oil industry. Ron Oakley, president of Fluor's federal services group, says the joint venture will pursue the oil field contracts whether they are offered by the U.S. Army Corps of Engineers or by an Iraqi entity. "We really don't know who it will be, but we will be the best, most diverse team," he says.


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