TechnipFMC clinches Merakes job worth at least $500 million

TechnipFMC has been awarded a large integrated Engineering, Procurement, Construction, Transportation and Installation (iEPCI) contract by Eni for the Merakes project, located offshore Balikpapan Indonesia, at a water depth of approximately 1,500 meters.

TechnipFMC said on Monday that the value the contract is between $500 million and $1 billion and that it covers five deepwater wells, and their 50-kilometer tie back to the existing Jangkrik Floating Production Unit in Indonesia. It is worth reminding that Eni started gas production from the Jangkrik development project in May 2017.

The company’s project scope includes engineering, procurement, installation and pre-commissioning of subsea equipment such as subsea trees, a manifold, large bore deepwater high pressure flexible lines, umbilicals and distribution hardware, flexible risers, flowlines and jumpers.

Arnaud Piéton, President Subsea at TechnipFMC commented: “This award demonstrates our leadership in iEPCI: an example of how through collaboration and engagement with our customer, we’re simplifying subsea field architecture, enabling long tie-backs and accelerating time to market for their production, all important drivers for Eni and Indonesia.”

The Merakes field, which is located in the East Sepinggan PSC in the Makassar Strait, offshore East Kalimantan, is estimated to hold about 2 trillion cubic feet of lean gas in place.

Eni received an approval of the plan of development (POD) for the Merakes field from the Indonesian Minister of Energy in April 2018, just three months after the submission of the plan and less than eleven months after Eni started production from its deep water operated asset in Indonesia, the Jangkrik fields complex in the Muara Bakau PSC.

In December 2018, Eni’s investment plan for the Merakes field was authorized by the company’s board of directors.

Eni is the operator of East Sepinggan Contract Area through its subsidiary Eni East Sepinggan Limited which holds an 85% participating pnterest while PT Pertamina Hulu Energi East Sepinggan holds the remaining 15% interest.

Offshore Energy Today Staff