Clough Finalizes Four Engineering Contracts

The Clough group is finalizing four oil and gas sector contracts in Australia, South-East Asia and Europe worth a total of at least A$33 million:

  • Nexen Petroleum Australia has issued a Letter of Intent for the decommissioning of the Buffalo Field in the Timor Sea worth about A$13 million but with scope for a potential increase to A$15 million.
  • Woodside Energy Limited (WEL) has presented a Notice of Award to Clough for subsea work on the Wanaea Cossack Lambert Hermes (WHCL) project on the North West Shelf worth between A$7 million and A$10 million, depending on the option WEL chooses to exercise.
  • Kodeco has awarded Clough's Indonesian subsidiary PT Petrosea and PT Clough a Letter of Award for the KE40 project in the Java Sea off north east Java worth approximately US$7 million (A$9.6 million).
  • Apache has awarded Clough UK Limited a contract to perform the Forties Field Echo platform riser repair in the North Sea.

  • "These awards confirm the strength of the oil and gas market worldwide riding on the back of the current high oil price. We see this market continuing to bear fruit for Clough for the foreseeable future," Mr. David Singleton, CEO and Managing Director of Clough Limited, said. "The contracts also reflect the strong focus across the Clough group on new business development and rebuilding our order book.

    "The WHCL project is a fantastic opportunity to further strengthen Clough's long-standing relationship with Woodside and help secure future subsea work with them and other clients in Australia. It's good to be working with Apache again but in an area of the world where Clough has developed an extensive track record in subsea work in recent years."

    Nexen - Buffalo Decommissioning
    The Buffalo Field, located in the Timor Sea some 560km north west of Darwin, currently produces high-quality crude oil. Clough installed the Buffalo process facilities and in-field flowlines and umbilicals for BHP Petroleum in 1999. Nexen acquired full ownership of the field in late 2000.

    Nexen is planning to cease production from the Buffalo Field at the end of November this year. Clough will carry out initial engineering for the plugging of the wells, disconnection of the FSPO and removal of underwater and surface installations, consistent with Nexen's environmental requirements. The work will be supported by the Clough fleet combination derrick lay barge "Java Constructor", following on from its work on Santos' Mutineer and Exeter project.

    Woodside Wanaea Cossack Lambert Hermes
    Woodside Energy Limited is extending the development of the WHCL fields - which are located 67 and 74 nautical miles respectively north-north-west of Dampier on WA's Pilbara coast by drilling new development wells in 2004 adjacent to existing infrastructures.

    Clough will charter the DP survey vessel "Geosea" to perform the works in November this year, which will include the installation of flexible subsea jumpers and associated umbilicals.

    Kodeco KE40
    Clough's planned work for Kodeco's KE40 project involves the transportation and installation of both 12km of rigid subsea pipeline and a production platform weighing 300 tons in 60 meters of water off Java. The works are planned for September this year and will again utilize Clough's vessel, the "Java Constructor". The project is located off the north east coast of Java.

    Apache North Sea Forties Field
    The scope of the Apache Forties Field Echo platform repair work in the North Sea involves the design, fabrication, installation and tie-in of a replacement 12" diameter steel riser for the main export pipeline from the Echo to Alpha platforms.

    The works program is particularly short to ensure an existing riser on the platform is replaced in the next available platform shutdown slot. Clough is currently fabricating a J-tube extension to fit onto the subsea end of an existing caisson on the platform. After a lead time of around eight weeks, the new riser will be towed to the platform and pulled through the new J-tube and existing caisson.
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