Subsea 7 wins EPIC contract

Global subsea contractor Subsea 7 has won an EPIC (engineering, procurement, installation, and construction) contract from Petroleo Brasileiro S.A. (Petrobras).

Global subsea contractor Subsea 7 has won an EPIC (engineering, procurement, installation, and construction) contract from Petroleo Brasileiro S.A. (Petrobras). The contract, valued in excess of $250 million, is for pipeline installation in the deeper part of the development program for the re-distribution of oil and gas transport within the Campos basin known as PDEG (B).

The workscope includes engineering, procurement, fabrication, installation, and pre-commissioning of six pipelines, including both 10 in. and 12 in. diameter lines totalling 168 km in length, all in the Campos basin. The installation scope includes pre-lay surveys along the proposed routes, full-time ROV monitoring of the touchdown point, and a full as-built survey once the pipe has been tested and stabilized. The pre-commission scope consists of flooding, pressure testing, gauging, and drying, and in the case of the gas lines, filling with Nitrogen. Several of the pipelines to be installed cross over existing lines, which will require support structures to be pre-installed.

The Campos basin is off the state of Rio de Janeiro and operations on this project will take place in water depths of up to 1,410 m. The project will be executed, engineered, and supported from the Subsea 7 base in Niteroi in the state of Rio de Janiero. Offshore work will start in late 2005 with the installation of a single flexible pipeline using a combination ofLochnagar and Kommandor 3000, the Subsea 7 deepwater flexible installation vessels currently based in Brazil. The remainder of the lines are rigid steel and will be laid using the Skandi Navica in 2006 and 2007. The pipeline spools will be welded and prepared at the Subsea 7 Ubu base in the state of Esprito Santo close to Vitoria, Brazil.

12/20/04

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