Singapore-based Sembcorp Marine has won the engineering, procurement and construction contract for Maersk Oil's US$4.5 billion Culzean development in the North Sea.
Under the $1 billion contract, the firm's subsidiary SMOE will build the development's central processing facility, plus two connecting bridges, the wellhead platform and utilities and living quarters platform topsides.
The contract has been announced the following yesterday's announcement that Maersk Oil and been given regulatory approval for the high-pressure, high-temperature development, which will be one of the largest new field developments in the North Sea in recent years. According to Wood Mackenzie Research, Culzean is the largest new field discovered in the North Sea for a decade.
Culzean, a gas condensate field, sits 145mi east of Aberdeen, and is expected to provide around 5% of the UK's total gas consumption by 2020/21.
SMOE will provide engineering, procurement, construction and onshore pre-commissioning services while detailed engineering work will be performed by a subcontracting partner.
The Sembcorp Marine Admiralty Yard in Singapore will be the core fabrication yard for the project, while the Sembmarine SLP yard in Lowestoft, UK will undertake the work scope for a power generation module, two bridges and a flare.
Ho Nee Sin, Sembcorp Marine’s Executive Vice-President and Head of Offshore Platforms said: "We are pleased to secure this mega-contract, despite stiff competition from world class yards. This is another prestigious North Sea project undertaken by the company where we will work closely with our UK subsidiary Sembmarine SLP as a team."
Subsea 7 has won a contract on the development, also announced today. Its work will comprise subsea, umbilicals, risers and flowlines on the development.
In May last year, KBR was awarded a contract for front end engineering and design on Culzean. Hercules Offshore won a contract for a newbuild heavy duty jackup for development drilling on the field.
Ramboll Oil & Gas was picked for detailed design work on the Culzean project jackets. In October 2014, Heerema Hartlepool was awarded a contract for engineering, procurement and construction of the well head platform jacket, ready for sailaway in 2Q 2016.
Tenaris was awarded a five year contract to supply casing and related services for the development. In July 2014, Intecsea was awarded a subsea front end engineering and design contract for Culzean with options for detailed design.
Maersk Oil is operator with partners JX Nippon and BP.
Read more