Offshore installation company Subsea 7 has won a contract by Independent Oil and Gas (IOG) to provide Subsea, Umbilicals, Risers, and Flowlines (SURF) for Phase 1 of IOG's Core Project in the UK Southern North Sea.
Subsea 7 will be responsible for the project management, engineering, procurement, construction, and installation of 35km of flow lines between the IOG's Southwark, Blythe, and Elgood fields, together with subsea structures, an umbilical, and associated subsea tie-ins.
More precisely, Subsea 7 will provide a 6km 24-inch extension to the Thames Pipeline to the Southwark platform, a 25km 12-inch line connecting the Blythe platform to the Thames Pipeline, and a 9km 6-inch pipeline and an umbilical connecting the Elgood field to the Blythe platform, and associated subsea structures and tie-ins.
Confirmation of this award follows a competitive tendering process and the recent approval of the Phase 1 Field Development Plan (FDP) by the UK Oil and Gas Authority (OGA).
Phase 1 comprises the development and production of the Southwark, Blythe, and Elgood fields through a total of five wells with gas transported onshore via the Thames Pipeline.
Andrew Hockey, CEO of IOG, commented: "We are pleased to be working with Subsea 7, a globally recognized leader in offshore energy services, for the SURF scope of Phase 1 of our core UK SNS gas development. They will be an important contractor for IOG in ensuring safe and efficient Phase 1 execution, which includes the offshore pipelay campaign being prepared for the second half of this year. We have already been working with Subsea 7 for several months under a pre-contractual arrangement and with the contract now finalized we look forward to further developing our constructive relationship."
Jonathan Tame, Vice President UK & Canada, Subsea 7, said: "We are pleased to be awarded this contract, which strengthens our reputation as a global provider of value-driven SURF solutions. We look forward to collaborating with IOG to ensure the cost-effective, safe, and timely execution of each phase of the development."
Subsea 7 said the contract was a sizeable one. The company defines a sizeable contract as being between $50 million and $150 million.