TechnipFMC secured contracts and notices to proceed on subsea construction projects in Brazil and Australia at the end of April, as it reported an orderbook of US$1.5Bn
The subsea engineering and installation contractor nearly doubled its accumulated contracts in the past year. Its management anticipate much more in terms of contract awards in the following year.
“We delivered solid financial results in both subsea and surface technologies, largely driven by strong operational execution,” said TechnipFMC chairman and chief executive Doug Pferdehirt. “In subsea, inbound orders more than doubled sequentially to US$1.5Bn, with increased adoption of Subsea 2.0 technologies,” he added.
“Our subsea outlook is for more than US$4Bn of inboard orders and for continued growth in 2022,” said Mr Pferdehirt. “We believe integrated project awards have the potential to more than double versus the prior year, and the combination of direct project and service-related orders could represent 50% of total inbound for the current year.”
The latest subsea technology and engineering awards include contracts based in Brazil and Australia.
Brazilian state-run energy group Petrobras awarded TechnipFMC a contract to provide subsea systems for the Marlim renewal and Voador project for the supply of up to eight manifolds for hydrocarbon production and water or gas injection. TechnipFMC’s all-electric robotic valve controller (RVC) technology will be employed, which replaces traditional subsea hydraulics and also replaces thousands of mechanical parts, while providing real-time data and analysis on system performance.
These innovations result in a manifold that is smaller, less complex and less costly with a significantly reduced carbon footprint, said TechnipFMC president for subsea Jonathan Landes. “We are very excited to bring new technology and automation capabilities to this project through the use of the RVC to operate the manifolds,” he said.
“Our innovations in automation and electrification are helping our clients lower their operational expenditures and reduce the carbon intensity of their subsea projects.”
In Australia, TechnipFMC will begin work on the subsea production systems for Santos’ Barossa project, located 300 km north of Darwin. The contract scope covers the supply of subsea trees and associated control systems, manifolds and wellheads. It also includes installation of these systems in water depths of around 130 m, and commissioning support, which will help to extend the life of the existing Darwin LNG production facility.
“This important award strengthens our relationship with Santos and further demonstrates our commitment to assist in the development of the Australian energy sector,” said Mr Landes.
TechnipFMC declined to publish the value of these contracts, but it did describe them as significant, with ranges between US$75M and US$250M.
These awards came as TechnipFMC reported a 10.6% rise year-on-year of revenue from its subsea division to US$1,386M in Q1 2021 resulting in operating profit of US$37M, which included impairment, restructuring and other charges totalling US$19.7M.
Riviera Maritime Media’s Offshore Energy Webinar Week is being held 14 June 2021 – use this link for more details and to register