Chevron to short-list FEED contractors for deepwater gas project

A number of international firms may pass pre-qualification (PQ) tender held by US oil, gas giant Chevron for its East Kalimantan deepwater gas project front-end engineering design (FEED), an official with upstream oil, gas authority BPMIGAS said.

Deputy Chairman Hardiono said KBR Engineers Indonesia, Technip Indonesia, Worley Parsons Indonesia, Woodgroup Indonesia and Fluor Daniel Indonesia may pass PQ tender for Floating Production Unit (FPU) FEED work.

Worley Parsons, Woodgroup, Singgar Doris and Bechtel may pass PQ for subsea FEED, he added.

Chevron may make announcement on PQ tender decision next week, he said.

Hardiono said in July 2009 that 16 bidders participated in FPU PQ and 13 in Subsea PQ.

The project, known as Indonesia Deepwater will be the first deepwater subsea mega project in Indonesia. The project will require development capital of US$7-8.5 billion and first gas is estimated 6.5-8 years from PoD approval. PoD for the project was approved by the government last year.

The project would extract 2-4TCF of gas in the form of development of 5 integrated gas fields in Chevron?s 4 PSCs namely Muara Bakau PSC, Makassar Strait PSC, Ganal PSC and Rapak PSC.

Gas from the fields will boost supply to Bontang LNG plant. (godang)