Foster Wheeler and engineering services company Kentz, through a joint venture in Dubai, said it won the design contract to help build new facilities and rehabilitate existing infrastructure tied to the Majnoon oil field, about 40 miles north of the port city of Basra.
The Iraqi government estimates Majnoon holds around 38 billion barrels of oil.
Tom Hooft van Huysduynen, Majnoon project director for the Shell subsidiary, said in a statement the field presents "some unique challenges" from a development standpoint.
The contract with Shell extends for two years, with an option to extend it by an additional year. Neither company offered financial terms for the deal, though Steve Spicer, general manager for the Foster Wheeler consortium, said it was a testament to the group's strengths in Iraq.
"This award is a strong vote of confidence in the added value that this combination can deliver," he said in a statement.