Turkish Petroleum has followed up its award of the pipelay contract for the Sakarya Phase 2 project with contracts covering installation of subsea umbilicals and flowlines
Oslo, Norway-listed Subsea 7 confirmed on 22 May that a major contract was awarded to the Subsea Integration Alliance for engineering, procurement, construction, and installation (EPCI) of the subsurface infrastructure for this large gas project, offshore Turkey in the Black Sea.
Subsea 7 defines a major contract as being one where its share of revenue would be more than US$750M.
The Subsea Integration Alliance includes Subsea 7, SLB, OneSubsea, the subsea technologies, production, and processing business of SLB, and Saipem.
Subsea 7 said the first contract of this two-phase subsea development was recorded in its backlog in Q2 2023, and the second phase is expected in 2024, although it remains subject to sanction by Turkish Petroleum.
When it does go ahead, offshore operations, including installation of subsea production systems, flowlines and umbilicals, are scheduled to commence in 2025.
Subsea 7’s part of this EPCI contract involves delivering and installing 37 km of infield flowlines and 47 km of control umbilicals and associated subsea equipment in water depths of around 2,000 m.
Project management and engineering will be managed from Subsea 7’s office in Istanbul, Turkey and offshore activities are expected between Q2 2025 and Q3 2025, with optional scope between Q4 2026 and Q4 2027, subject to a final investment decision by the client.
“Through the close collaboration of Subsea7, OneSubsea and Turkish Petroleum, first gas from Sakarya Phase 1 was delivered just 30 months after discovery,” said Subsea 7 vice president for Africa, Middle East and Caspian, Franck Louvety.
“Subsea 7 looks forward to extending this relationship for Phase 2 and continuing our contribution to the development of the energy industry in Turkey.”
Saipem has already confirmed it won the contract to lay a 175-km gas export pipeline for this project and will use its flagship pipelay vessel, Castorone, for the work.
The Sakarya gas project is the largest discovery in the Black Sea, 175 km offshore Eregli, Turkey.
The field is estimated to hold potential around 540Bn m3 of natural gas and should provide around 30% of Turkey’s domestic demand when in full production.
It is being developed in two phases, with the first involving up to 10 production wells and the second contract covering 30 subsea wells and a 175-km gas pipeline to an onshore natural gas processing facility in the Filyos Industrial Zone, Zonguldak province.
Production wells will be drilled by the Fatih and Kanuni drillships and offshore activities supported by Filyos Port, where Turkish Petroleum is building bases and processing centres.
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