June | 2020 | | Petropipe

Buhari flags off $2.8 billion gas pipeline project, biggest in Nigeria’s history

The project will boost domestic gas consumption, power generation, and industrialization.

President Muhammadu Buhari will be making history as he flags off the construction of the $2.8 billion 614km Ajaokuta-Kaduna-Kano (AKK) natural gas pipeline, the single biggest gas pipeline project in Nigeria’s history, in Ajaokuta (Kogi State) and Rigachikun (Kaduna State).

The project, which is taking off after months of discussions in and out of the country, will boost domestic gas consumption, power generation, and industrialization.

The AKK pipeline project, which will carry gas between the southern and northern parts of the country, will eventually extend to North Africa.

The Nigerian National Petroleum Corporation (NNPC) initially announced tenders for this project in July 2013. A project proposal was submitted to the Infrastructure Concession Regulatory Commission (ICRC) in June 2017, and the Federal Executive Council subsequently granted approval in December 2017.

The 614 kilometers-long natural gas pipeline is Phase One of the Trans-Nigeria Gas Pipeline (TNGP) project, to be done on a build-and-transfer Public Private Partnership (PPP) basis. It will transport 3,500 million metric standard cubic feet per day of dehydrated gas from several gas gathering projects located in southern Nigeria.

The project will be in three phases:

The first phase is 200 kilometers long and is between Ajaokuta and Abuja, at a projected cost of $855 million.
The second phase is 193 kilometers long, between Abuja and Kaduna. It is estimated to cost $835 million.
The third phase is 221 kilometers-long, between Kaduna and Kano, at a projected cost of $1.2 billion.

It will eventually reach North Africa in subsequent phases.

The AKK gas pipeline project will create steady and guaranteed gas supply network between the Northern and Southern part of Nigeria, and enhance power generation capacity. The industrial sector will be strengthened, local usage of gas will be promoted and increased, and the country’s revenue generation boosted through export of natural gas.

Nigeria, currently ranked the 7th most endowed natural gas country in the world, sits on about 180 trillion cubic feet of natural gas deposits, which can be utilized as gas to power, gas to petrochemicals, liquefied natural gas (LNG), liquefied petroleum gas (LPG), and compressed natural gas (CNG), among others.

Over the years, Nigeria has exploited its oil resources more, to the detriment of gas, which incidentally fetches more revenue although more expensive to prospect.

One big advantage the average Nigerian can look forward to is the evolution of compressed natural gas (CNG), which is still at pilot stage in the country.

Source: Nairametrics

National Water Company (NWC) takes up SAR204 Million Water and Wastewater Projects

The National Water Company’s (NWC) General Directorate for Water Services in Qassim region announced that it started the implementation of a number of key projects that aim at increasing wastewater services coverage, developing radical solutions for overflows and reducing the environmental impact of wastewater pollution, in addition to improving operational circumstances and supporting the water systems in the region, at a cost of more than SAR204 million.

Eng Abdulmuhsin Muhammad Al-Furaihi, General Director of Water Services in Qassim, said that the directorate is implementing a project for wastewater networks and domestic connections to the east of Buraidah city, costing more than SAR57 million, and comprising the laying of more than 55,700 meters of pipelines, main and sub-networks. Additionally, 3,225 house connections will be installed, with a total of 24,832 new customers benefiting from the project.

Al-Furaihi added “we are also implementing a project for laying wastewater networks in different areas of the city (phase three), costing over SAR87.7 million, comprising the laying of more than 88,000 meters of pipelines, main and sub-networks, in addition to the execution of some 3,916 domestic connections serving more than 30,150 new customers.” The two wastewater projects will save the region 540 wastewater tanker-trips.

The General Director said that work is currently in progress to implement a project for building an operational strategic reservoir with all its attachments east Buraidah, with a cost of more than SAR59.5 million and capacity of 50,000 m³/day in phase one, to enhance operation and boost the water storage systems in the city.

Source: National Water Company

ADNOC announces $20.7 billion pipeline investment deal

The Abu Dhabi National Oil Company (ADNOC) has entered into an agreement with a consortium of investors which will invest in select ADNOC gas pipeline assets valued at $20.7 billion.

The consortium comprises Global Infrastructure Partners (GIP), Brookfield Asset Management, Singapore’s sovereign wealth fund GIC, Ontario Teachers’ Pension Plan Board (Ontario Teachers’), NH Investment & Securities and Snam (the Consortium).

The consortium will collectively acquire a 49% stake in ADNOC Gas Pipeline Assets LLC (ADNOC Gas Pipelines), a newly formed subsidiary of ADNOC with lease rights to 38 pipelines covering a total of 982.3 kilometers, with ADNOC holding the 51% majority stake. The transaction structure allows ADNOC to tap new pools of global institutional investment capital, while maintaining full operating control over the assets.

Under the terms of the agreement, ADNOC will lease its ownership interest in the assets to ADNOC Gas Pipelines for 20 years in return for a volume-based tariff subject to a floor and a cap.The company says that the transaction will result in upfront proceeds of over $10 billion to ADNOC and is subject to customary closing conditions and regulatory approvals.

The gas pipeline network connects ADNOC’s upstream assets to local UAE off-takers. Ownership of the pipelines, management of pipeline operations, and all responsibility for associated operational and capital expenditures will remain with ADNOC.

Commenting on the transaction, His Excellency Dr. Sultan Al Jaber, UAE Minister of State and ADNOC Group CEO, said: “We are pleased to once again partner with some of the world’s leading global infrastructure and institutional investors in what marks the region’s largest energy infrastructure investment. This milestone transaction demonstrates the trust and confidence placed in ADNOC by the global investment community and unlocks significant value from our pipeline portfolio, following last year’s groundbreaking oil pipeline infrastructure investment partnership. Today’s landmark investment signals continued strong interest in ADNOC’s low-risk income-generating assets, and sets another benchmark for large-scale energy infrastructure investments in the UAE and the wider region. It solidifies ADNOC’s position as an attractive partner and reinforces the UAE’s track record as the region’s go-to foreign direct investment destination, even during the current unprecedented circumstances.”

Adebayo Ogunlesi, Chairman and Managing Partner of GIP commented: “We are delighted to be entering into this strategic partnership with ADNOC, one of the world’s leading energy companies. ADNOC’s gas network is a core piece of midstream infrastructure in the UAE and this transaction presents a unique opportunity to invest in an asset of this quality and importance, while also supporting ADNOC in their smart growth strategy. This transaction underscores GIP’s strategy of investing in high-quality infrastructure assets and developing long term strategic partnerships with industry leaders.”

“We are pleased to invest in this strategic pipeline system, which serves as the critical link between UAE low-cost natural gas supply and robust in-country demand,” said Bruce Flatt, CEO, Brookfield Asset Management. “This transaction aligns with our strategy of investing in high quality, essential assets generating stable and predictable cash flows in a sector we know well. ADNOC has established itself as one of the world’s leading natural gas producers, with an exemplary operational record. We look forward to partnering with them in support of this critical asset and sector.”

“This strategic transaction is attractive to Ontario Teachers’ as it provides us with a stake in a high-quality infrastructure asset with stable long-term cash flows, which will help us deliver on our pension promise,” said Ziad Hindo, Chief Investment Officer, Ontario Teachers’. “This new partnership with ADNOC and a group of world-class institutional and infrastructure investors expands our global presence and provides further geographic diversification to our portfolio.”

Investing into ADNOC’s gas infrastructure and supporting Abu Dhabi’s energy initiatives reinforces our investment diversification strategy and demonstrates Korea’s growing presence in the global infrastructure space. I am confident this milestone transaction can become a stepping-stone to broaden Korean investments in the region,” remarked Young-Chae Jeong, Chairman & CEO of NH Investment & Securities.

Snam CEO, Marco Alverà, said: “With this strategic transaction, we strengthen our international footprint by entering a country and a region that are key to our sector. Our aim is to promote further cooperation opportunities, particularly in the energy transition. We will work with ADNOC and the Consortium partners by leveraging our industrial skills, know-how and innovative solutions in natural gas infrastructure management and provide our contribution to the UAE’s energy system. This transaction was carried out remotely over the past months, testifying the resilience of our company and its willingness to continue its growth path.”

This agreement is the largest transaction since ADNOC announced the expansion of its partnership and investment model in 2017. Since then, ADNOC has entered the debt capital markets for the first time, issuing a $3 billion bond backed by the Abu Dhabi Crude Oil Pipeline; partially floated ADNOC Distribution, the first-ever IPO of an ADNOC Group company; and entered into several strategic partnerships in its drilling, refining, fertilizer and trading businesses, amongst others.

Source: Oil &Gas Middle East

TechnipFMC awarded assignments worth up to NOK 1.8 billion

On behalf of the license partners, Equinor has awarded two contracts and issued a letter of intent to TechnipFMC for pipelaying and subsea installation for three projects on the Norwegian continental shelf (NCS).

The projects in scope are Breidablikk and the Gas Import System for the Snorre Expansion Project, for which contracts have been awarded, and Askeladd Vest, for which a letter of intent has been issued. The Breidablikk contract has subsea installation as an option.

The total value of the three assignments, including the option, is about NOK 1.8 billion.

“We are pleased to award TechnipFMC new large assignments within pipelaying and subsea installation on the NCS. Giving three assignments to the same supplier enables efficiency gains and cost savings. It will also allow for a coordinated follow-up of the total delivery during the implementation phase. This creates value for all parties”, says Peggy Krantz-Underland, Equinor’s chief procurement officer.

The scope of the assignments includes fabrication and laying of pipelines, installation of subsea structures, control cables and hook-up and testing of systems. The offshore operations under the contracts are planned to be carried out during 2021-2023.

The awards contribute to sustaining important workplaces for TechnipFMC in Norway, including the Orkanger spoolbase, where the pipelines will be fabricated before they are reeled onto the installation vessel. The awards are also expected to generate additional work through further sub-contracting to other companies.

“In a challenging period for the industry we aim to continue realizing the full potential of our NCS project portfolio. This must be carried out in close cooperation with our suppliers to ensure that we create value and activity in Norway. It will help sustain jobs in the supply industry and further develop the important competence the industry has built up,” says Krantz-Underland.

The contract award for Breidablikk is subject to a final investment decision and final regulatory approval. The letter of intent for Askeladd Vest is subject to a final investment decision.

Source: Equinor

McDermott Awarded Pre-FEED for NET Power UK Project

McDermott International, Inc. announced it has been awarded a *sizeable Pre Front End Engineering Design (preFEED) contract from 8 Rivers Capital for their NET Power UK project with the UK Department for Business, Energy and Industrial Strategy. The project will generate a UK-specific NET Power design, which 8 Rivers is seeking to then deploy at multiple locations, including at a Teesside site in the United Kingdom located 10 miles (17km) East of Middlesbrough.

NET Power is a collaboration between McDermott, 8 Rivers Capital, Exelon Generation and Oxy Low Carbon Ventures. Its goal is to design a new way to generate power from hydrocarbons without releasing CO₂ into the atmosphere, paving the path to decarbonized economic growth.

McDermott and 8 Rivers have a longstanding relationship and have worked together on a number of prospective projects, including a NET Power test plant facility in 2016. Their mutual and aligned sustainability focus has led to a successful track record of project delivery.

“We are pleased to once again be collaborating with 8 Rivers to support the Energy Transition by reducing greenhouse gas emissions and contributing to net zero ambitions in line with the Paris agreement,” said Tareq Kawash, Senior Vice President Europe, Africa, Russia and Caspian. “With a focus on more sustainable industrial processes, like carbon capture and storage, we are harnessing our extensive engineering expertise to create tangible solutions for our stakeholders—including our customers, employees and communities.”

The engineering and design work will be executed from McDermott’s offices in London, UK and supported by the Charlotte, North Carolina office.

Work on the contract will begin immediately and the contract award will be reflected in McDermott’s second quarter 2020 backlog.

* – McDermott defines a sizeable contract as between USD $1 million and $50 million.

Source: McDermott

Hyundai Engineering selected as the contractor for Hannam district 3

Hyundai Engineering & Construction has been selected as a contractor for Hannam newtown district 3 by the association of housing redevelopment of the region in Yongsan-gu, Seoul,

At the first round of voting, Hyundai won 1,167 votes, Daelim Industrial had 1,060 votes and GS Engineering & Construction won 497 votes, respectively. Hyundai was selected in a runoff with 1,409 votes. Daelim had 1,258 votes.

The construction of Hannam 3 District is estimated to cost 1.8 trillion won ($1.4 billion) and the total project cost will be about 7 trillion won. It will include 197 buildings for 5,816 households with six basement floors and 22 floors above ground, as well as neighborhood living facilities, in Yongsan-gu, Seoul.

Source: Hyundai Engineering & Construction

KBR signs MoU with L&T Hydrocarbon Engineering for Refinery and Petrochemical Projects

KBR has signed a memorandum of understanding with L&T Hydrocarbon Engineering Ltd (LTHE) for refinery and petrochemical projects.

Under the terms of the agreement, KBR and LTHE will collaborate to develop business opportunities for which KBR will license proprietary technology and engineering services and LTHE will be the EPC provider. LTHE will exclusively bid for projects globally, with specific focus in India, South East Asia, the Middle East and Africa involving KBR’s solid acid alkylation technology (K-SAATTM), solvent de-asphalting technology (ROSE®) and catalytic olefins technology (K-COTTM).

K-SAAT is KBR’s next generation solid acid alkylation technology that provides high alkylate yield and high feed flexibility. KBR’s solvent de-asphalting technology, ROSE, has more than 90% market share among solvent de-asphalting technologies. KBR’s K-COT is a catalytic olefins technology that converts low-value olefinic, paraffinic or mixed streams into high-value propylene, ethylene and aromatics.

“This MoU brings together KBR’s century-long technology expertise and LTHE’s strong capability as a major EPC player and modular solution provider,” said Doug Kelly, KBR President, Technology Solutions. “KBR’s innovative and reliable process technologies have been helping refinery and petrochemical plants globally to optimize production and reduce operating costs.”

About KBR, Inc.

KBR is a global provider of differentiated professional services and technologies across the asset and program lifecycle within the Government Solutions and Energy sectors. KBR employs approximately 37,000 people worldwide (including our joint ventures), with customers in more than 80 countries, and operations in 40 countries, across three synergistic global businesses:

Government Solutions, serving government customers globally, including capabilities that cover the full lifecycle of defense, space, aviation and other government programs and missions from research and development, through systems engineering, test and evaluation, program management, to operations, maintenance, and field logistics
Technology Solutions, featuring proprietary technology, equipment, catalysts, digital solutions and related technical services for the monetization of hydrocarbons, including refining, petrochemicals, ammonia and specialty chemicals, as well as inorganics
Energy Solutions, including onshore oil and gas; LNG (liquefaction and regasification)/GTL; oil refining; petrochemicals; chemicals; fertilizers; differentiated EPC; maintenance services (Brown & Root Industrial Services); offshore oil and gas (shallow-water, deep-water, subsea); floating solutions (FPU, FPSO, FLNG & FSRU); program management and consulting services

KBR is proud to work with its customers across the globe to provide technology, value-added services, integrated EPC delivery and long term operations and maintenance services to ensure consistent delivery with predictable results. At KBR, We Deliver.

Source: KBR Press Release

Sonatrach & Maire Tecnimont Signed Contract for a 2nd Oil Treatment Train

ALGIERS – A consortium made up of SONATRACH and its two partners PTTEP and PVEP, on the one hand, and the Italian company specialized in Mayor Engineering Tecnimont, on the other hand, have signed an Engineering, Procurement & Construction (EPC) contract for the completion of a second oil treatment train (CPF) at the Bir Sebaa field, 40 km from Hassi Messaoud, said a company press release.

This project, whose contract was awarded in March 2018 following a call for tenders, constitutes “the 2nd phase of development of the Bir Sebaa field which will allow the processing of an additional production of 20,000 barrels / day of oil in order to to increase the production of these fields up to 40,000 barrels / day ”, specifies the press release.

The services and supplies of this EPC contract, signed and include in particular the detailed engineering studies, the supply of equipment and materials, construction as well as commissioning tests.

The project provides for the production of an oil treatment train, associated gas compression unit, gas lift unit, water injection unit for maintaining pressure, a third turbogenerator (18MW), as well as the connection of 33 wells (19 oil producers and 14 water injectors), specifies the same source (APS).

Source: Sonatrach News

Petrofac awarded EPCC contract by Tatweer Petroleum

Petrofac’s Engineering & Production Services division (EPS) has been awarded a multi-million dollar engineering, procurement, construction, and commissioning (EPCC) contract by Tatweer Petroleum, for an upstream gas project in Bahrain.

Under the terms of the contract, the scope of work includes well hook-ups, associated pipelines, and tie-ins for several new gas wells that Tatweer Petroleum is planning to drill as part of its gas delivery strategy in the Bahrain field.

Mani Rajapathy, Managing Director, EPS East, commented:

This award demonstrates continued confidence in our teams to deliver safe, timely, and efficient solutions for key projects in Bahrain. It leverages Petrofac’s best-in-class expertise and experience in upstream gas. Tatweer Petroleum is an important customer in the region, and we look forward to continuing our relationship with them and furthering our commitment to building capability in the Kingdom.

Petrofac has been present in Bahrain since 2015, following the award of an EPCC contract to supply a new 500 MMSCFD gas dehydration facility by Tatweer Petroleum. The project was successfully completed in 2018, and additional scope of work was awarded to Petrofac for the engineering, procurement, and construction of several gas wells, to be connected to the facility.

Source: Petrofac

Tecnimont S.p.A. awarded $400M EPC contract by Groupement Bir Seba in Algeria

Maire Tecnimont S.p.A. announces that its subsidiary Tecnimont S.p.A. has been awarded by Groupement Bir Seba an EPC contract for the execution of the “Bir Seba Phase II and Mouiat Outlad Messaoud Field Development” Project, in Algeria. Groupement Bir Seba is composed of Algeria’s state-owned Sonatrach, Petrovietnam Exploration Production Corporation, and PTT Exploration & Production Algeria, a subsidiary of Thailand’s national oil company PTTEP. The project will be implemented in the Bir Seba and Mouiat Outlad Messaoud oil fields, located in the Touggourt area, about 130 km northeast of Hassi Messaoud.

The overall contract value is approximately USD 400 million. The scope of work includes full Engineering, Procurement and Construction activities.

The project entails the expansion of an existing oil central processing facility, with the installation of a new oil separation train to double the total capacity up to 40,000 barrels of oil per day. The project also includes the installation of 2 additional remote gathering stations and more than 400 km of pipelines to connect the new oil production wells, along with the implementation of gas lift and water injection facilities.
Project completion is scheduled after 40 months from the contract effective date.

Pierroberto Folgiero, Maire Tecnimont Group CEO, stated: “After our previous award with Sonatrach in 2018, this achievement lets us further consolidate our industrial footprint in the strategic Algerian market in the crucial oil & gas sector, having matured a solid experience of projects’ execution in other Middle Eastern and North African countries. We are really proud to strengthen a mutually beneficial relationship with such prominent clients, as sound evidence of our successful operations in the Country. This is the fifth major award for our Group in 2020 in spite of the ongoing Covid pandemic and is a further testament of our core business’ resilience.”

Source: Maire Tecnimont SpA

Qatar Signs $20B Vessel Contract to Cement LNG Leadership Role

Qatar has signed a deal worth around $20 billion with South Korean shipbuilders to help cement its position as the world’s largest producer of liquefied natural gas.

The Gulf emirate entered into agreements with Daewoo Shipbuilding & Marine Engineering Co., Hyundai Heavy Industries Co. and Samsung Heavy Industries Co., according to a statement from state producer Qatar Petroleum. The three Korea-based firms will reserve a “major portion” of their LNG ship-construction capacity for QP through 2027.

The deal, valued at around 70 billion Qatari rials ($19.1 billion), could see them build more than 100 LNG vessels for Qatar, QP said.

“We have everything in place to commence the largest LNG-shipbuilding program in history,” said Saad Al-Kaabi, QP’s chief executive officer and Qatar’s energy minister. “We have secured approximately 60% of the global LNG shipbuilding capacity through 2027.”

QP signed a separate agreement to secure shipbuilding capacity with Hudong-Zhonghua Shipbuilding Group Co., a wholly owned subsidiary of China State Shipbuilding Corp., in April.

It needs a bigger fleet of LNG carriers because of new projects in Qatar and the U.S.

Qatar is “moving full steam ahead” with the expansion of the North Field, its share of the world’s biggest gas deposit, al-Kaabi said. That will raise the country’s annual output from 77 million tons to 126 million tons by 2027, he said.

QP will expand its output despite plans to cut spending by about 30%, Kaabi said last month.

Source: energypeople.com

Consortium of Bouygues Travaux Publicis, Saipem and Boskalis Selected for Fecamp Offshore Wind Farm Foundations

Bouygues Travaux Publics (mandatory, 40.5%) in consortium with Saipem (40.5%) and Boskalis (19%) have been awarded the design work, construction and installation scope for 71 concrete Gravity-Based Structures (GBS) as foundation for the Fécamp offshore wind farm in Normandy, France. The award was made by EDF Renewables, Enbridge Inc and wpd Offshore. The contract carries a total value of 552 million euros.

The offshore wind farm will be located between 13 and 22 kilometres off the coast of Fécamp in Normandy. The 71 wind turbines will be connected to the gravity-based foundations installed on the seabed at depths between 25 and 30 metres.

Within the consortium, Bouygues and Saipem, are tasked with the design, construction and installation on the seabed of the gravity-based foundations with an individual weight of up to 5,000 tonnes necessary to provide the stability of the 7MW wind turbines. Boskalis is tasked with the design and preparation of the seabed rock foundation prior to GBS installation, and the scour protection and ballasting of the GBS’ after installation on the seabed.

The foundations will be constructed in the Bougainville maritime works yard in the Grand Port Maritime of Le Havre and will be transported by barge to the offshore wind farm site. The works, which will start in June, should be completed by the end of 2022. The commissioning and operational start-up of the wind farm are planned for 2023.

With a total power output of some 500 MW, the Fécamp offshore wind farm should produce the equivalent of the domestic electricity consumption of approximately 770,000 people, representing more than 60% of the inhabitants of the Seine-Maritime department.

To carry out this project, EDF Renewables has selected internationally recognised companies in the fields of civil engineering and construction, dredging, offshore installation and maritime works. With this unique combination of expertise, the consortium partners are confident to successfully deliver and contribute to the energy mix diversification programme of the French Government.

Source: Saipem Press Release

SAPURA ENERGY BERHAD SECURES CONTRACTS WORTH RM766 MILLION

Sapura Energy Berhad (Sapura Energy), a leading global integrated oil and gas services and solutions provider, has been awarded several new contracts for its Engineering and Construction (E&C) division, with a combined value of approximately RM766 million.

In Brunei, Sapura Offshore Sdn Bhd was awarded a contract for the PRP7 Pipeline Replacement Project by Brunei Shell Petroleum Co. Sdn Bhd, another testament to Sapura Energy’s long presence in the country.

The contract scope of work comprises the replacement of the 16-inch 9.4km pipeline PID1494 including topside modification, and riser and pipeline demolition, as well as an optional scope of the replacement of the 6-inch one-kilometre pipeline PID2008 including topside modification, and riser and pipeline demolition. The works are expected to be completed by Q1 FY2022.

In Singapore, Sapura Offshore Sdn Bhd Singapore Branch, together with its consortium partner Dredging International Asia Pacific, has been awarded the engineering, procurement, construction and installation contract for the single buoy mooring (SBM) Pipeline Rejuvenation Phase II Project by Shell Eastern Petroleum (Pte) Ltd.

The contract scope of work comprises pre-emptive repair of the nearshore pipeline section, rejuvenate the SBM system and optional removal of existing pipeline to ensure fitness for service of the crude offloading system to Bukom Refinery in Singapore. The contract is expected to be completed by Q3 FY2023.

Meanwhile, Sapura Energy (Thailand) Limited has received an award from Chevron Thailand Exploration and Production Ltd. (CTEP) for its Asset Retirement Offshore Removal Campaign in Thailand.

The contract scope of work consists of project management, engineering, procurement, offshore heavy lifting vessel and transportation spread to decommission seven offshore jackets, wet tow and reef jacket at a reef site. The offshore campaign is expected to commence within FY2021.

Back in Malaysia, its home-base, Sapura Energy continues to demonstrate its reliability as a trusted partner under the Umbrella Contract for Pan Malaysia Transportation & Installation of Offshore Facilities (2017-2020) when Sapura Offshore Sdn Bhd received an award from Hess Exploration and Production Malaysia B.V pursuant to the umbrella contract.

The contract scope of work comprises the provision of project management, installation engineering, transportation and installation of five modules at Bergading Central Processing Platform. The works are expected to be completed by Q4 FY2021.

Sapura Offshore Sdn Bhd also received an award for the provision of engineering, procurement, construction and installation (EPCI) services for the Additional Andalas Pipeline Project Phase 4 Development in the adjacent Malaysia Thailand Joint Development Area (MTJDA), from Carigali-PTTEPI Operating Company Sdn Bhd (CPOC).

The contract scope of work includes engineering, procurement, construction, installation and pre-commissioning of a 20-inch 29-kilometer subsea pipeline, including riser and riser guard installations. The contract is effective on 30th April 2020 and the works are scheduled to be completed within 15 months.

Source: Sapura Energy Press Release

Subsea 7 awarded renewables contract offshore Scotland

Subsea 7 announced the award of a major(1) contract by SSE Renewables for the engineering, procurement, construction and installation (EPCI) of the foundations and inter-array cables for the Seagreen Offshore Wind Farm project, 27km offshore Scotland. The Seagreen development will be a 1,075MW offshore wind farm, comprising 114 wind turbines located off the east coast of Scotland.

Seaway 7, the Renewables business unit of Subsea 7, will manage the EPCI of the 114 wind turbine generator foundations and approximately 300km of associated inter-array cables. The agreement will immediately secure 30 jobs within Seaway 7’s Aberdeen office where the EPCI contract will be managed, with this number expected to reach around 50 jobs at the peak of activity.

John Hill, Seagreen Project Director, said: “Seaway 7 brings a wealth of offshore wind knowledge and expertise and we are pleased to welcome them and their Aberdeen team to Seagreen.”

Steph McNeill, Executive Vice President – Renewables at Seaway 7, said: “We are looking forward to continuing our successful collaborative relationship with SSE Renewables as we help construct Seagreen. We have been active in the UK Renewables sector for over a decade and are very pleased to continue to support the ongoing energy transition in the UK. The Seagreen project will be managed from our Seaway 7 office in Aberdeen, bringing our offshore wind expertise to the largest offshore wind project in Scotland.”

(1) Subsea 7 defines a major contract as being over USD 750 million.

Source: Subsea7 Press Release

Petrofac awarded significant North Sea well management contract

Petrofac’s Engineering & Production Services business (EPS) announces that it has secured a well management contract for Phase 1 of Independent Oil and Gas plc’s (IOG) Core Project.

Petrofac will support IOG’s development of the Southwark, Blythe and Elgood fields in the UK Southern North Sea (SNS). The five-well contract scope covers the planning, execution and close-out phases of the Phase 1 drilling programme, with Petrofac intended to act as Well Operator on behalf of IOG, a role it has performed for nine other companies in the UK North Sea.

The planning phase includes detailed well design, risk assessment and management of well-related regulatory requirements. During the execution phase Petrofac will manage well engineering, procurement and logistics, assure well construction and integrity, and provide onshore and offshore personnel to support the drilling campaign.

Nick Shorten, Managing Director for Petrofac Engineering and Production Services West, said: “We are thrilled to be supporting IOG’s prestigious SNS gas development project. Through the deployment of our extensive asset and well management expertise, we will work closely with IOG to assure the integrity of the wells and deliver a safe and cost-efficient drilling programme to support the advancement of their development.”

Andrew Hockey, CEO of IOG, commented: “We are very pleased to have selected Petrofac as the well management contractor for Phase 1 of our core UK SNS gas development. Petrofac has demonstrated that they have the right credentials and expertise to execute what will be a critical role in helping IOG to deliver a safe, productive and cost-effective five-well Phase 1 drilling campaign kicking off in the first half of next year.

“The IOG drilling and subsurface teams have already established a strong working relationship with the Petrofac team in recent months and this will deepen further as Phase 1 drilling preparations ramp up.”

Source: Petrofac