McDermott and BHGE land Greater Tortue Ahmeyim award

Business & Finance

McDermott and Baker Hughes, a GE company (BHGE) have been awarded subsea umbilicals, risers and flowlines (SURF) and subsea production system (SPS) equipment contracts by BP for the Greater Tortue Ahmeyim natural gas project, located offshore Mauritania and Senegal.

The Greater Tortue Ahmeyim natural gas project
The Greater Tortue Ahmeyim natural gas project

BP, BHGE, and McDermott are working together to realize efficiencies, synergies and enhanced delivery times, McDermott said in a statement on Monday.

McDermott was awarded a substantial engineering, procurement, construction and installation (EPCI) SURF contract. McDermott defines a substantial contract as between $500 million to $750 million.

McDermott plans to use its upgraded Amazon vessel, DLV 2000, North Ocean 102 (NO 102) and third-party vessels to support installation scheduled to begin in late 2020.

The Amazon modifications are scheduled to be completed before the installation campaign begins and will include a multi-joint (hex) J-Lay system to handle the most challenging ultra-deepwater projects as well as the addition of a multi-joint facility, dual pipe loading cranes and additional power generation. McDermott-designed pipeline and riser structures will be fabricated at its yard in Batam, Indonesia.

BHGE is demonstrating the benefits of early-engagement and collaboration – some of the key components of Subsea Connect – as well as bringing its expertise in deepwater, long-offset gas projects. The company will provide five large-bore deepwater horizonal xmas trees (DHXTs), a 6-slot dual bore manifold, a pipeline end manifold, subsea distribution units (SDUs), three subsea isolation valves (SSIVs), diverless connections and subsea production control systems, specifically designed to enable the future integration of additional wells for the first phase of the development.

“This contract marks a number of firsts: our first significant subsea EPCI project in West Africa; the first project using our state of the art pipelay vessel Amazon; and our support of BP’s first entry into Senegal and Mauritania. This project is also of significant importance in support of our aspirations in this region,” said Tareq Kawash, McDermott’s Senior Vice President for Europe, Africa, Russia and Caspian.

“Our collaboration with BHGE allows us to offer BP an integrated approach that builds on our proven solutions.”

“These awards demonstrate the value of early-engagement, collaborative partnerships and holistic project planning, which are very much central to our new approach to subsea developments, Subsea Connect,” said Graham Gillies, BHGE’s Vice President, Subsea Production Systems & Services.

“This major deepwater gas development is strategically important for Mauritania and Senegal’s domestic and global gas supply, and supports the industry’s drive for a more sustainable, lower carbon future.”

These latest awards follow an initial front-end engineering and design (FEED) phase, awarded in March 2018, during which BHGE and McDermott worked together to define the technology and equipment scope for a four-well development phase. Project management and engineering teams from BP, BHGE and McDermott will remain co-located at McDermott’s London offices for this next phase.

The initial subsea infrastructure connects the first four of 12 wells consolidated through production pipelines leading to a floating production, storage, and offloading (FPSO) vessel. From here liquids are removed and the export gas is transported via a pipeline to the floating liquid natural gas (FLNG) hub terminal where the gas is liquefied.

BP has already awarded several other contracts for its Greater Tortue Ahmeyim natural gas project, including the one to Golar LNG for an FLNG unit, which will be built by Keppel, another one for TechnipFMC for the FPSO unit, and an EPCI contract for a consortium between Saipem and Effiage.