McDermott awarded Mozambique FEED

McDermott International - Press Release Jan 11, 2013

McDermott, Allseas lock subsea pipeline FEED

Mozambique map

McDermott International, Inc. announced that one of its subsidiaries has teamed up with industry leader Allseas to provide a robust project execution strategy for the front-end engineering and design (FEED) of a subsea natural gas pipeline system and subsea infrastructure installation project for US independent Anadarko Petroleum offshore Mozambique.

The successful pair was awarded a FEED contract by Anadarko in January 2013 for its premier “Area 1” offshore field in the Rovuma basin. Considered an essential milestone for Mozambique’s energy infrastructure development, the project is expected to transport natural gas from the Prosperidade offshore development to a new greenfield liquefied natural gas (LNG) facility.

“The McDermott and Allseas team is very pleased with this recent award,” said Steven W. Roll, Vice President and General Manager, Atlantic. “The combination of both companies’ extensive worldwide subsea EPCI - engineering, procurement, construction and installation - experience, as well as our top tier engineering offices and fabrication facilities throughout the world, coupled with our respective fleets of subsea installation vessels, gave us the competitive edge to be able to design and manage the complexities and the critical interfaces of the Area 1 multiple work scopes.”

Both companies have extensive experience in successfully and safely delivering high quality subsea projects in newly emerging markets and in remote locations, factors considered essential for the success of this project.

Working closely with the Anadarko team, McDermott and Allseas expect FEED completion in the third quarter of 2013. Thereafter the companies will have an opportunity to bid on the full EPCI scope of the Area 1 development.

Area 1 is 36.5%-owned and operated by Anadarko, in partnership with Mitsui E&P (20%), BPRL Ventures (10%), Videocon Mozambique Rovuma 1 (10%), PTTEP (8.5%) and Mozambique’s Empresa Nacional de Hidrocarbonetos (15%).