Clough says its AMEC Joint Venture has signed a $20 million engineering procurement and construction management contract for Arrow Energy's Daandine expansion project.
The Daandine expansion project includes the installation of additional well facilities and new gas and water gathering pipelines in the Daandine field in Queensland's Surat Basin.
The contract includes the expansion of the existing central gas processing facility with three new reciprocating, gas-driven compressors and associated process and utility plant, increasing the current number of wells in the Daandine gas field by 22.
Production will be increased by modifications to existing infrastructure and the installation of additional infrastructure.
The contract is set to run to the end of 2015.
Clough managing director Kevin Gallagher, said the project represented a significant investment in domestic gas supply in the region.
"Clough will draw on extensive engineering and construction management and execution experience in the coal seam gas (CSG) sector to reduce the total installed costs for this important project," he said.
"We will work closely with Arrow Energy and our partner AMEC, to deliver industry leading safety, cost and productivity performance."
Clough is part of South Africa's Murray & Roberts, after its takeover last year.