McDermott wraps up one part of its assignment on Shell’s gas project offshore Malaysia (Gallery)

U.S.-headquartered offshore engineering and construction player McDermott has completed an offshore segment of its scope of work on a project, encompassing multiple gas fields, which Sarawak Shell, a subsidiary of the UK-headquartered energy giant Shell, operates off the coast of Malaysia.

Shell hired McDermott in July 2023 to handle transportation and installation services for two pipeline segments and one section of flexible pipelay for the F22, F27, and Selasih fields (FaS) gas field development off the coast of Sarawak, Malaysia. The U.S. player explained the offshore installation would be done with the DLV 2000 heavy lift and pipelay vessel. The firm recently finished the offshore campaign with the heavy lift and pipelay ship, however, more work remains on its to-do list until next year.

“Hats off to our team on the FaS gas development project in Malaysia for the successful transportation and installation of the project’s pipelines, jackets, and topsides – A testament to the skill of our team there and their commitment to helping meet the region’s growing energy demand,” highlighted McDermott.

After OceanMight, a subsidiary of KKB Engineering, was tasked with fabricating structures for the FaS project, thanks to an engineering, procurement, and construction (EPC) contract from December 2022, the first steel for the three wellhead platforms was cut in April 2023 at the firm’s yard at Jalan Bako, Kuching, Sarawak.

Once the construction work was out of the way, the sail-away of three topsides and three jackets, weighing more than 5,700 metric tons and destined for the F22, F27, and Selasih fields development project, occurred in August 2024.

The MLNG FaS project, which is part of the MLNG production sharing contract (PSC), is operated by Sarawak Shell (SSB, 40% stake), together with partners: Petronas Carigali (40%) and Petroleum Sarawak Exploration & Production (20%).

McDermott, which recently decided to sell its CB&I storage business for $475 million and got a sustainability classification from the American Bureau of Shipping (ABS) for the pipelay vessel that worked on Shell’s FaS project, has tucked several new assignments under its belt.

Among these assignments is an engineering, procurement, construction, and installation (EPCI) contract for pipelines and cables destined for QatarEnergy’s expansion of Qatar’s giant gas project.

The U.S. player is also a member of the consortium that recently won a front-end engineering design (FEED) contract for a proposed liquefied natural gas (LNG) project off the coast of Mozambique.

Note: Article amended on Friday, November 15, 2024, to clarify that the finished work was part of a larger assignment, which is still ongoing.