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Costain | Foundation for Defense of Democracies
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United Kingdom



Date: 2002 – Unknown

Deal: According to the Costain Group's Website, the company provided project management, detailed design, procurement, and commissioning assistance for Iranian firm Oil Industries Engineering and Construction (OIEC) on the natural gas liquids (NGL) 1200 and 1300 polishing units in Iran. The NGL 1200 plant has a throughput of 2363 tonnes per day, while the NGL 1300 plant has a throughput of 1860 tonnes per day. The plants "remove sulphur compounds from an untreated NGL feed to provide a sweet NGL product." (Costain Company Website, Accessed August 3, 2010)

Date: June 2005 – Unknown

Deal: According to the Manchester Evening News, in June 2005, Costain Group subsidiary Costain Oil, Gas, and Process (COGAP) announced that it had won a $1.6 billion contract to be the lead contractor for the design, construction, and operation of the Bid Boland 2 gas treatment facility in Iran's Khuzestan province. The other firms participating in the joint venture are Spain's Dragados and Iran's Sazeh and Jahanpars. (Manchester Evening News, July 18, 2005)

According to a Costain press release, the "facility will process up to 2 billion cubic feet per day of sweet and sour gas plus condensate and liquefied petroleum gas (LPG)" (Costain Group PLC Company Press Release, June 25, 2005)

The Costain-led consortium was also building a storage facility in Mahshahr, where liquefied petroleum gas (LPG) from the Bid Boland 2 plant would be exported for sale, according to the Manchester Evening News (Manchester Evening News, July 18, 2005).

According to Venture, Costain noted in 2006 that in the aftermath of Ahmadinejad's election to the presidency, there had been no movement on the project. The company stated, "We are monitoring the situation, and if the job comes back on the table, we would reopen discussions with the client and suppliers to offer a new price" (Venture Online, July - August 2006).

According to a 2010 U.S. Government Accountability Office (GAO) report, the expected date of completion for the Bid Boland 2 project was in 2009, but the GAO's attempts to contact the firm yielded no response before March 22, 2010. (Government Accountability Office, March 23, 2010)

U.S. Business Ties: According to USAspending.gov, Costain has not received any U.S. government contracts in the past 10 years (USASpending.gov, accessed August 3, 2010).