McDermott to fabricate subsea equipments for Ichthys in Batam
Thursday, January 26 2012 - 03:41 AM WIB
McDermott International Inc said it plans to start fabrication of more than 16,000 tons of subsea equipments, including a subsea Riser Support Structure and installation aids at its Batam Island fabrication facility beginning in 2013.
The subsea equipments will be supplied to the giant Ichthys Floating LNG (FLNG) project in offshore Australia.
McDermott said it has signed a letter of award for the Ichthys Gas-condensate Field Development subsea umbilical, riser, flowline (SURF) project by Inpex Corporation of Japan. The contract value is in the order of magnitude of of US$2 billion and is the largest subsea contract McDermott has been awarded to date.
This project includes engineering, procurement, construction, installation (EPCI) and pre-commissioning of production flowline systems, a MEG injection system, plus start-up condensate transfer and fuel gas transfer flowline systems, control systems as well as other associated SURF elements in water depths up to 275 meters.
McDermott will also install mooring systems for the Floating Production, Storage and Offtake vessel and Central Processing Facility as well as installation engineering for future flowlines, risers and umbilicals.
McDermott is working with Heerema Marine Contractors (Heerema) for transportation and installation of a portion of the offshore scope, utilizing the heavy lift, J-Lay and Reel-Lay capability of Heerema?s new-build vessel Aegir.
?The complex offshore installation campaign will see McDermott undertake the installation of subsea hardware, moorings, risers, umbilicals and flowlines utilizing its specialty subsea vessels Emerald Sea and North Ocean 102,? the company said in a media statement.
McDermott has a long track record working on EPCI projects offshore Australia. This major SURF award firmly endorses McDermott?s core EPCI competencies and our competitive subsea construction vessels, combined with Heerema?s installation strength and the team?s alignment with Inpex.
"This is a large scale and complex development, and we are firmly behind promoting the success of this LNG project," Stephen M. Johnson, Chairman of the Board, President and Chief Executive Officer of McDermott said.
The Ichthys LNG Project is a joint venture between Inpex (76 percent interest, the operator) and Total (24 percent). The US$30 billion LNG project is scheduled to commence production in 2017, more or less at the same time with the $5 billion worth of Abadi gas field in Masela Block, in Arafura sea, which is also operated by Inpex.
Both Ichthys and Abadi gas fields will use Floating LNG processing unit (FLNG), which will be first kind in the world. Indonesia and Australia are now racing to become the first country to have FLNG through the LNG projects.
Gas from the Ichthys field, in the Browse Basin approximately 200 kilometers offshore Western Australia, will undergo preliminary processing offshore to remove water and extract condensate.
The gas will then be exported to onshore processing facilities in Darwin via an 889-kilometer subsea pipeline. The Ichthys LNG Project is expected to produce 8.4 million tonnes of LNG and 1.6 million tonnes of LPG per annum, along with approximately 100,000 barrels of condensate per day at peak.
Editing by Roffie Kurniawan