The contract includes over 15,000 tons of pipes for the Sépia 2 project, produced in Minas Gerais, coated in Espírito Santo, and intended for ultra-deep waters in the Santos Basin.
A contract for the Sépia 2 project, operated by Petrobras, outlines the supply of approximately 130 km of rigid pipelines for the pre-salt region. Vallourec, a manufacturer of tubular solutions for the energy sector, announced the contract on September 16, 2026.
The pipes will be produced at the Jeceaba plant in Minas Gerais. They will then be transported to Serra in Espírito Santo, where they will receive thermal insulation before being sent to the subsea structure in the Santos Basin.
Why the pipelines will be produced in one state and coated in another
The process involving both Minas Gerais and Espírito Santo relates to the distinct industrial stages of supply. The Jeceaba unit will be responsible for manufacturing the seamless carbon steel pipes, crafted without a longitudinal seam.
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The next stage will take place at the Serra plant, which specializes in applying external thermal insulation. Therefore, the pipelines will leave Minas Gerais without the final layer needed for future offshore operations.
The contract includes pipe manufacturing and coating in an integrated offer. In total, over 15,000 tons of pipes will be supplied, prepared to withstand the demanding conditions of oil exploration in ultra-deep waters.
Thermal insulation protects the flow of oil on the seabed
The water at the ocean floor has very low temperatures. Without adequate protection, the fluid transported by the pipelines can lose heat during the journey between the wells and the production unit.
The coating acts as a barrier that reduces heat loss. The proposed solution uses synthesized polypropylene, a material developed for insulating subsea pipes during installation and operation.
This precaution is significant since the new unit will be located in a water depth of approximately 2,170 meters. At this depth, installation and maintenance require specialized equipment, precise planning, and materials designed for severe conditions.
Pipes will form lines between the wells and the new floating unit
The 130 km will be divided between flow lines and rigid ascendant sections. The flow lines transport fluids along the seafloor, while the ascendant sections connect to the unit located on the surface.
The Sépia 2 project includes 15 wells, along with an export pipeline connected to a new floating production, storage, and offloading unit, known by the acronym FPSO.
The installation will be located in a pre-salt area approximately 280 km off the Brazilian coast. Vallourec, a manufacturer of tubular solutions for the energy sector, detailed the length, weight, and selected locations for the two industrial phases.
Petrobras, Subsea7, and Manufacturer Assume Different Roles
Petrobras leads the consortium responsible for developing the Sépia 2 project. The company also hired Subsea7 to execute the engineering, procurement, construction, and installation of the underwater infrastructure.

Subsea7 has contracted the supply of pipes and thermal insulation. This division illustrates how a pre-salt project relies on a supply chain formed by the operator, underwater engineering firm, and steel industry.
The announcement does not provide the financial value of the supply. It also does not indicate a date for the start of manufacturing, delivery of the pipes, or completion of the installation at sea.
Contract Connects the Brazilian Industry to an Ultra-Deepwater Project
What has been confirmed so far is the hiring of approximately 130 km of rigid pipelines, with manufacturing planned in Minas Gerais and insulation in Espírito Santo. The industrial and offshore stages still need to be executed.
As the supply progresses, the pipes will travel a chain that starts in Jeceaba, continues in Serra, and ends in the Santos Basin. The project links the installed industrial capacity in Brazil to an oil infrastructure located more than 2,000 meters below the ocean surface.
Production across two states strengthens the participation of the Brazilian industry in the pre-salt. Do you believe that contracts of this magnitude can generate new opportunities for national suppliers? Share the article and leave your opinion in the comments.
