‘Substantial’ iEPCI win for TechnipFMC with Shell

Project & Tenders

TechnipFMC has secured a contract with Shell for what is said to be the first integrated engineering, procurement, construction, and installation (iEPCI) project to use high-pressure subsea production systems rated up to 20,000 psi (20K).

Under the contract deemed as “substantial”, TechnipFMC will manufacture and install subsea production systems, umbilicals, risers, and flowlines for Shell’s Sparta development in the Gulf of Mexico.

The tree systems will be Shell’s first to be qualified for 20K applications and are engineered to meet the high-pressure requirements of this greenfield development.

In addition, Sparta will be the first of the oil major’s replicable projects to feature all-electric topside compression equipment.

Jonathan Landes, President of Subsea at TechnipFMC, said: “Sparta will combine our leading-edge subsea technology with our proven integrated execution model, iEPCI, providing improved project economics. We are excited to be working with Shell on 20K technology.”

TechnipFMC defines a substantial contract as one worth between $250 million and $500 million.

Sparta, previously known as North Platte, is a deepwater development in the U.S. Gulf of Mexico measuring 4,300 square feet. Discovered in 2012 by Cobalt International Energy, the field is currently operated by Shell Offshore (51%) with Equinor Gulf of Mexico (49%) as the oil major’s partner.

Shell made the final investment decision (FID) for the development in mid-December 2023 and the first steel for the new semi-submersible floating production unit (FPU) destined for the project was cut by Singapore’s Seatrium last month.