Integrated subsea contracts showed strong growth in 2019, with a record-high of 150+ subsea trees awarded under such deals, according to Rystad Energy. This is in stark contrast to the seven subsea trees that were issued using integrated contracts in 2016, when the concept was initially adopted. Integrated contracts – where service providers often partner with each other to provide the full subsea scope – have become increasingly popular over the past four years.
While these contracts initially gained popularity in the North Sea and the US Gulf of Mexico, they have been gaining traction globally. Australia has now emerged as the third-largest hub for integrated contracts, where three subsea field developments – Julimar, Pyxis, and Ichthys Phase 2 – were all awarded using this contract strategy.
