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Canada: Subsea 7 Receives Terra Nova Field SURF Contract

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Subsea 7 S.A. announced the award of a SURF contract valued at approximately $100 million from Suncor Energy on the Terra Nova Field, situated 350km south east of St John’s, Newfoundland, offshore Canada.

The contract scope includes the management, engineering and installation of nine 300 metre replacement risers and associated flowlines, jumpers and tie-ins.

Engineering and project management will commence immediately at Subsea 7’s St John’s office, with offshore operations due to commence in summer 2012 utilising Subsea 7’s world-class construction and diving vessels.

Phil Simons, Subsea 7’s Vice President Canada, Mediterranean & Russia said, “As a leading seabed-to-surface engineering, offshore construction and services company we are delighted to have won this prestigious contract which builds on our expertise and strong track record and further supports the development of our St. John’s office.”

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WWCS Bags Decom Gig in U.S. Gulf of Mexico

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Wright’s Well Control Services (WWCS) has been awarded a contract from an operator in the Gulf of Mexico for the surface plug & abandonment of sixteen wells. Work on this project will commence in the first quarter of 2012 and is expected to be completed by the end of June 2012.

WWCS will use its proprietary custom-engineered equipment for the project including wireline units, pumps, fluid manifolds, cement blenders, gas separators and tanks. These small-footprint spreads allow for conducting rigless plug & abandonments from a vessel of opportunity. WWCS will also provide planning, permitting and project management services.

“We are seeing an uptick in decommissioning work in the Gulf. The awarding of this contract further demonstrates WWCS’ capability to successfully execute multi-well packages for our clients. Our unique small-footprint equipment and experienced crews help customers stay on budget and schedule,” says David Wright, WWCS president.

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Australia: DeepOcean Wraps Up Kipper Tuna Turrum Trenching

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CTC Marine Projects, Ltd. (“CTC” or the Company), part of DeepOcean Group Holding AS, has announced the completion of its trenching work for the Kipper Tuna Turrum Project in the KTT Field located 45 kilometres offshore Victoria, Australia.

The work was undertaken on contract for McDermott Industries (Aust) Pty Ltd. The Company performed trenching of the recently installed hydraulic and electrical umbilicals located in 100 metres of water.

Prior to going offshore in late December 2011, CTC pre-assembled the A-Frame and CMR3 remotely operated trenching vehicle in Bell Bay, Tasmania, following its transportation from the UK. The trenching spread, which when transported weighed 112 tonnes over 10 units, was then mobilised onboard the client-operated vessel DSV Emerald Sea.

Following the completion of this project, the spread has been demobilised and is ready to commence further work in the APAC region.

“This project was another well planned and executed trenching job by CTC”, says Pierre Boyde, Commercial and Business Development Director. “We currently have another trenching spread, the world’s premier ROV trencher UT-1 on our Volantis subsea construction vessel working in South Korea, and we expect to remain active in this important APAC region.”

Located off the Victorian coast in Bass Strait, ExxonMobil Australia’s Kipper Tuna Turrum Project is currently one of the largest domestic gas developments on the eastern seaboard.

The $4 billion project will develop cleaner-burning natural gas supplies to help secure Victoria’s energy future, and holds enough energy to power a city of a million people for 35 years. Over 3000 people will be involved in the project,  including engineering, project management, and fabrication and offshore construction teams. The Kipper facility construction is expected to be complete in 2012, while Turrum is expected to be completed in 2013.

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Oceaneering Bags Angola Gig from BP

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Oceaneering International, Inc. announced that it has secured a three-year Field Support Vessel Services contract from BP p.l.c. Oceaneering will provide project management, engineering, and vessel services offshore Angola on Blocks 18 and 31, commencing February 1, 2012. The contract provides for two option periods of one year each, exercisable by BP.

Two chartered vessels, the Ocean Intervention III and the Bourbon Oceanteam 101, will be supplied under the contract. Each vessel will be outfitted with two Oceaneering work class remotely operated vehicles (ROVs) capable of working in 3,000 meters of water. Oceaneering will mobilize its chartered vessel, the Ocean Intervention III, from the U.S. Gulf of Mexico to Angola commencing in early January 2012. The contract scope of work includes light subsea construction, inspection, maintenance, and repair services on existing and future subsea infrastructure. The contract has a provision for Oceaneering to provide, at BP’s option, a third vessel after the commencement date.

M. Kevin McEvoy, President and Chief Executive Officer, stated, “We are pleased to have secured this contract with BP, one of our largest customers. This project builds on our well-established deepwater vessel project capabilities in the U.S. Gulf of Mexico and represents a significant geographic expansion with considerable backlog for our Subsea Projects business. It further reinforces our long-term commitment to Angola, which is a growing market for Oceaneering’s services and products.

BP’s involvement with Angola goes back to the mid 1970s. During the 1990s, BP made very substantial investments in Angola’s offshore oil, and it is now an important part of the company’s upstream portfolio. The UK based oil giant on Tuesday confirmed that it has gained access to five more deepwater exploration and production blocks offshore Angola.

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Shell Awards Subsea 7 with Two Gulf of Mexico Contracts

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Subsea 7, a major player in seabed-to-surface engineering construction, and services, today announces the award of two engineering and installation contracts from Shell for the Cardamom and West Boreas Projects in the Gulf of Mexico.

Subsea 7’s scope of work on West Boreas is the installation of a 6,096m (20,000ft) long umbilical as well as subsea distribution hardware for the field. Installation will occur in water depths up to 959m (3,146ft) in the Mississippi Canyon block area.

On the Cardamom Project, Subsea 7 will install a 9,266m (30,400ft) long umbilical plus subsea distribution hardware for the field in depths up to 914m (2,999 ft) in the Garden Banks block area.

The project management and engineering for Shell’s projects will take place from Subsea 7’s Houston office. Subsea 7’s construction vessel the Skandi Neptune will be used on both projects.

Ian Cobban, Subsea 7’s Vice President for the Gulf of Mexico, said: “We are very pleased to have been awarded these contracts by Shell, which build upon our strong track record in the deepwater subsea construction market in the Gulf of Mexico.”

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USA: Subsea 7′s Presence at OTC Bigger than Ever Before

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Subsea 7, will mark its new beginning to the global oil and gas industry at this year’s Offshore Technology Conference (OTC) in Houston, Texas, where its presence is bigger than ever before.

Subsea 7 Inc. and Acergy S.A. merged in January this year, bringing together two very strong subsea companies to create a global leader in seabed-to-surface engineering, construction and services. With a 12,000 strong workforce worldwide, the new Subsea 7 has the highest concentration of expertise in its industry sector. It has a global engineering team of around 1,500 professionals addressing the key engineering disciplines within its business. Subsea 7 is well placed to deliver  technologies that address its clients’ requirements, for example, in the offshore rigid pipelay market, not only does the company have an industry-leading engineering design capability, but also the full suite of installation techniques of: Reel-lay; S-lay; Steep S-lay; J-lay and Bundlelay.

The new Subsea 7 enables clients to access a fleet comprising 42 vessels and on booth #2824 in the Reliant Centre, Subsea 7 will showcase its technically advanced fleet, in particular, Seven Borealis, a new pipelay/heavy lift vessel due to be delivered to Subsea 7 during the first half of 2012. Seven Borealis will be ideally suited to meeting the exacting requirements of ultra-deep and deepwater projects in the world’s harshest environments. Subsea 7 will demonstrate its project management experience, in executing major engineering, procurement, installation and construction projects, this is endorsed by a newly awarded milestone US $1 billion contract by Petrobras for four decoupled riser systems to be installed in the Guará and Lula fields located offshore Brazil, in water depths of approximately 2,200m. On top of the challenges of scale posed by the project are the ground-breaking design innovations. The project is based on installing four very large submerged buoys, weighing around 1,900 tonnes each, approximately 250 metres below the surface, along with twentyseven steel catenary risers (SCRs) and associated pipeline end terminations.

Subsea 7 will also have an update on the commercialisation of its first new Autonomous Inspection Vehicle (AIV), expected to be available in late 2011. A significant amount of interest was generated during OTC 2010 where Subsea 7 had a scale model of the AIV on its booth to enable visitors to understand the technology.

At OTC 2011, Subsea 7 will deliver 11 technical papers, showcasing examples of its capabilities in deepwater markets, its engineering and technical expertise.

Technical papers include:

• Conger – Technical Challenges and success for Rigid Pipeline

• Deployment lowering operations (2 papers)

Deepwater Field Developments

• Lateral Buckling Mitigation in Deepwater

• Qualification of Large Diameter Fiber Rope – DNV

Angola LNG Pipeline bundle

• Design, construction and management of Hybrid Riser Towers (2 papers)

• Reel Clad SCR Weld Fatigue

3D Imaging

Recruitment and talent-spotting will also be high on the agenda for Subsea 7 at this year’s event. At present, the company is looking to recruit a substantial number of people globally, in a range of disciplines including engineering, project management, operations management and support functions.

Steve Wisely, Subsea 7’s Executive Vice President – Commercial, commented:

“This year’s OTC is an ideal opportunity for the new Subsea 7 to give visitors a real insight into the extended fleet capabilities, technical expertise and depth of engineering and project management resources that are available to help them meet their deepwater challenges in particular. We will also be actively recruiting and hope to attract a number of new people to join the company, through the variety of opportunities we currently have available.”

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