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Petrobras Gets New Steam Pipeline in the Brazilian Northeast

Skanska operations in Brazil Petrobras, the state-controlled Brazilian oil company, is ready to build a steam pipeline in northeast Brazil. The total contract with Sweden-based Skanska amounts to US$ 113 million. The surface pipeline will have a diameter varying between 3 and 20 inches with thermal insulation.

The 84-kilometer (52-mile) steam pipeline will be built between the Vale do Açu thermoelectric power plant and the Alto do Rodrigues oil and gas production wells, where the steam will be injected, in the state of Rio Grande do Norte.

The project should start in the next few days and is scheduled for completion in 18 months. The scope of the contract comprises the construction, assembly and thermal insulation of the entire pipeline, testing and start-up assistance.

Skanska has wide experience in pipeline construction and is presently building a gas pipeline for Petrobras in northern Brazil.

Skanska Latin America is one of the continent's leading construction companies and one of Skanska's most profitable units. Operations focus primarily on construction, operations and services for the international energy industry.

In 2006, the company had some 11,000 employees and sales of about US$ 600 million. Worldwide, the company has 56,000 employees in selected home markets in Europe, in the US and Latin America.

Headquartered in Stockholm, Sweden and listed on the Stockholm Stock Exchange, Skanska's sales in 2006 totaled US$ 17 billion.

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