Shell awards Shearwater gas pipeline EPCI contract to Subsea 7

Subsea 7 has been awarded a contract by Shell for the Shearwater Fulmar Gas Line Re-Plumb Project in the UK North Sea.

The engineering, procurement, construction and installation contract will take place approximately 140 miles east of Aberdeen.

Under the work scope of the contract, Subsea 7 will install a 37-km, 25-inch export line, a 14-inch rigid riser, control jumper, subsea structures and associated subsea tie-ins.

No value was disclosed for the project but Subsea 7 described it as “sizeable”, defining this as being between US$50M and US$150M.

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Subsea 7’s UK and Canada vice president Jonathan Tame said: “For many years Subsea 7 has been chosen by Shell to provide engineering and project execution expertise in the North Sea. This latest award further demonstrates our ability to design the right engineering solutions that ensure a safe, effective and cost-efficient project delivery.”

Shell announced on 10 December that together with partners Esso Exploration and Production and Arco it had made a final investment decision on a Shearwater gas infrastructure hub in the central North Sea. The modification to the Shearwater platform will allow wet gas to flow into the Shell Esso Gas and Associated Liquids pipeline.

Shell’s vice president for upstream in the UK Steve Phimister said: “This is part of our strategy to grow our gas production from around the Shearwater platform and it underscores Shell’s commitment to maximising the economic recovery of oil and gas from the North Sea.”

Discovered in 1988, the field in which Shearwater operates was first developed in 2000 and is jointly owned by operator Shell (28%), ExxonMobil (44.5%) and BP (27.5%).

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