Aegion Corp. is on schedule to begin pipe coating and the application of pipe insulation material for use on the Shell Appomattox project in the deepwater Gulf of Mexico, this fall.
The insulation material vendor for the project, Materia, Inc,. is also on schedule with respect to the project.
Shell selected Aegion's subsidiary, The Bayou Companies, LLC to provide the pipe coating and insulation for Appomattox.
Aegion is collaborating with Materia to supply Materia's Proxima HTI-1400 subsea insulation system for the project. The newly developed thermosetting cross-linked hydrocarbon polymer system provides a robust thermal barrier between flowlines and seawater. The insulation system is a stable incompressible solid in deepwater environments involving water depths greater than 10,000ft.
Materia recently completed the first phase of the required expansion of its Huntsville, Texas facility to produce the new thermal insulation material and is proceeding with the commissioning process. The second phase of the expansion is expected to occur in Q2 and Q3 2016, which would meet the schedule for full-scale production this fall.
A state-of-the-art insulation coating facility designed for the Appomattox project is currently under construction at Bayou's New Iberia, Louisiana location, where Bayou will provide anti-corrosion pipe coating and ancillary services.
In partnership with Materia, Bayou Wasco Insulation, LLC, a joint venture between Aegion and Malaysia-based Wasco Energy, Bayou Wasco has developed the proprietary ACS HT-200 pipe insulation coating application process.
Bayou is currently receiving specialized equipment for the insulation application as construction on the new facility continues for completion this summer. Bayou expects to begin insulation application production during Q4 2016.
The Shell Appomattox oil reserve is located approximately 80mi off the coast of Louisiana at a depth of about 7200ft. The pipe coating and insulation project, which involves more than 200mi of production flowlines and transmission pipelines, is expected to be completed 12-18 months after the start of pipe coating and insulation application.
"The new proprietary pipe insulation application process will permit safe and efficient transportation of crude oil from deepwater oil field developments in the Gulf of Mexico,” Charles R. Gordon, Aegion president and CEO said.
Image of the Appomattox development, from Shell.
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