McDermott awarded offshore EPCI contract from Saudi Aramco

January 26, 2017

DUBAI -- McDermott International announced it has been awarded a substantial contract from Saudi Aramco for engineering, procurement, construction and installation (EPCI) services in the Safaniya and Zuluf fields offshore Saudi Arabia.  The brownfield project is part of a wider program to replace aging facilities with electrified platforms to enhance the potential of the fields. The contract includes the design, procurement, fabrication, transportation, installation, testing and pre-commissioning of nine slipover jackets and decks, subsea pipelines and cables, as well as the associated demolition of certain facilities, in the Safaniya field. The contract also includes one single well observation platform in the Zuluf field.

“McDermott’s partnership with Saudi Aramco developing the Safaniya field dates back more than 50 years,” said Linh Austin, McDermott’s vice president, Middle East and Caspian. “We believe we are uniquely positioned to achieve Saudi Aramco’s accelerated schedule based on our unparalleled experience providing integrated solutions within the region and in shallow water development and installation.” McDermott was also recently awarded a contract to provide a fast-track EPCI solution for four jackets and three gas observation platforms for Saudi Aramco.

The Safaniya oil field, located approximately 125 miles north of Dhahran in the Arabian gulf, is currently the largest offshore oilfield in the world. McDermott’s work in the Safaniya field dates back to 1964, with the installation of 62 platforms and a large number of associated flexibles, umbilicals, flow/trunk pipelines and power/composite cables. Over the last six years, McDermott has been involved with three major electrification projects in the Safaniya field, which included 13 new platforms and 34 platform upgrades and modifications. During this period, McDermott installed Saudi Aramco’s largest platform at 6,600 tons and the world’s longest 230kV composite cable at approximately 29 miles.

Work on the contract is expected to begin immediately and will be reflected in McDermott’s fourth quarter 2016 backlog. McDermott plans to use its engineering and procurement teams in Dubai, UAE and its recently opened office in Al Khobar, Saudi Arabia. Construction will take place at McDermott’s fabrication facilities in Dubai and Dammam, Saudi Arabia. Vessels from McDermott’s global fleet are scheduled to perform the installation work.  This is the eighth EPCI project awarded from Aramco since 2015.

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