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Partnership Between Subsea 7 and OneSubsea Wins Exclusive Contract for Offshore Engineering Project in the Pre-Salt of the Bacalhau Field
This Thursday, 30, Equinor signed contracts with Schulmberger and Subsea 7 for front-end engineering and design (FEED) with early commitments and pre-investments for phase 1 of the Bacalhau area (formerly Carcará) in Brazil. The Norwegian giant opens a selection process to meet offshore projects in Rio and Porto do Açu
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In a statement, Subsea 7 informed that the awarded work was necessary to finalize the technical definition of the proposed development before Equinor makes final investment decisions (FID) at the end of 2020.
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According to the company, the contract is based on a two-stage award. The FEED and pre-investment are starting immediately, with an option for the execution phase under a “lump-sum turnkey” configuration that includes engineering, procurement, construction, and installation for the entire scope of SURF and SPS.
The development will include 19 wells, approximately 130 kilometers of rigid risers and flowlines, and 35 kilometers of umbilicals.
The Subsea Integration Alliance will also be responsible for the subsequent life of field support, representing a fully integrated contract model throughout the field lifecycle, from engineering, early engagement, to after-sales services.
The company added that the value of the EPCI contract would only be recognized by Subsea 7 in its order book after the FID, and will represent a significant project award, which Subsea 7 defines as a contract of over US$ 750 million.
Project management and engineering will be conducted in Rio de Janeiro with support from Subsea 7’s Global Project Centre in the UK, France, and various OneSubsea offices. Offshore installation activities are scheduled for 2022 and 2023.
The Bacalhau field, previously known as Carcará, is located 185 kilometers off the coast of São Paulo State, in depths of 2050 meters, and is Brazil’s first integrated SPS and SURF project.
Stuart Fitzgerald, Vice CEO of the Subsea Integration Alliance, said: “The award to the Subsea Integration Alliance of the FEED contract for the Bacalhau project is based on our experience in early engagement and a successful track record of large integrated projects.”
“It emphasizes the breadth and strength of our product portfolio, the quality of onshore and offshore assets, and our extensive project management and engineering capability in Brazil and worldwide. We look forward to supporting Equinor in this and future developments.”
Marcelo Xavier, Vice President of Business at Subsea 7 in Brazil, added: “This contract builds on our successful track record of solutions developed for deepwater projects in Brazil and demonstrates our ability to maximize asset value through early engagement and an integrated approach.”
The partners in the Bacalhau field are Equinor, the operator with a 40% stake, while other partners include ExxonMobil with 40%, Petrogal Brasil with 20%, and Pré-sal Petróleo SA as a non-investing government agency.
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