May 22 | 2019
IEPCI for South Expansion 2 Project
Engineering services firm TechnipFMC has been awarded a “significant” contract by oil major BP for the development of the Thunder Horse South Expansion 2 Project located in the Gulf of Mexico.
The Engineering, Procurement, Construction and Installation contract is expected to involve substantial breakbulk transport during development at the giant offshore facility.
“We are very pleased to have been awarded this IEPCI contract for BP in the Gulf of Mexico. This award confirms the trust we have built over the long term with BP and demonstrates the continued adoption of our IEPCI offering,” said Arnaud Pieton, president subsea at TechnipFMC.
Boarshead Basin
Located offshore some 200 kilometers southeast of New Orleans, the Thunder Horse field covers Mississippi Canyon Blocks 776, 777 and 778, in the Boarshead Basin.
Scope of work will include manufacture, delivery and installation of subsea equipment, including subsea tree systems, manifolds, flowline, umbilicals and subsea tree jumpers, pipeline end terminations, subsea distribution and topside control equipment.
The exact deal size was undisclosed, but a spokesperson for TechnipFMC said it was valued at between US$75 million and US$250 million, calling the contract “significant.”
Strong Orders Boost Outlook
The firm recently updated its outlook for the sector in 2019, pointing to strong orders and execution in onshore/offshore as a key driver for a positive forecast.
As one of the largest oilfield services companies in the world, the firm’s financial position is closely tied to global oil markets and as such the updated 2019 financial guidance suggests an improving outlook for breakbulk demand.
“In onshore/offshore, we continue to execute well and achieved notable project milestones during the period … we are well-positioned to benefit from the recovery underway in many of our key end-markets,” said Doug Pferdehirt, CEO of TechnipFMC.
The company was less positive on recovery in the North American market where weaker-than-expected activity in the surface technologies segment clouded forecasts.
The Engineering, Procurement, Construction and Installation contract is expected to involve substantial breakbulk transport during development at the giant offshore facility.
“We are very pleased to have been awarded this IEPCI contract for BP in the Gulf of Mexico. This award confirms the trust we have built over the long term with BP and demonstrates the continued adoption of our IEPCI offering,” said Arnaud Pieton, president subsea at TechnipFMC.
Boarshead Basin
Located offshore some 200 kilometers southeast of New Orleans, the Thunder Horse field covers Mississippi Canyon Blocks 776, 777 and 778, in the Boarshead Basin.
Scope of work will include manufacture, delivery and installation of subsea equipment, including subsea tree systems, manifolds, flowline, umbilicals and subsea tree jumpers, pipeline end terminations, subsea distribution and topside control equipment.
The exact deal size was undisclosed, but a spokesperson for TechnipFMC said it was valued at between US$75 million and US$250 million, calling the contract “significant.”
Strong Orders Boost Outlook
The firm recently updated its outlook for the sector in 2019, pointing to strong orders and execution in onshore/offshore as a key driver for a positive forecast.
As one of the largest oilfield services companies in the world, the firm’s financial position is closely tied to global oil markets and as such the updated 2019 financial guidance suggests an improving outlook for breakbulk demand.
“In onshore/offshore, we continue to execute well and achieved notable project milestones during the period … we are well-positioned to benefit from the recovery underway in many of our key end-markets,” said Doug Pferdehirt, CEO of TechnipFMC.
The company was less positive on recovery in the North American market where weaker-than-expected activity in the surface technologies segment clouded forecasts.
