McDermott Bags Scarborough EPCIC Deal

McDermott has revealed that it has been awarded a contract for the engineering, procurement, construction, installation and commissioning (EPCIC) services of the Scarborough project’s Floating Production Unit (FPU) offshore Western Australia.

The company outlined that the integrated scope for the deal, which was awarded by Woodside, also includes the design, fabrication, integration, transportation and installation of the hull and topsides. The value of the contract was not disclosed by the companies.

Engineering expertise for the deal will be leveraged from McDermott’s Kuala Lumpur and Gurgaon offices, McDermott revealed, adding that its subsea team in Perth will support transport, installation, hook up and commissioning activities.

“McDermott brings the engineering and execution expertise to deliver integrated deepwater subsea projects and offshore FPUs to the highest standards,” Samik Mukherjee, the executive vice president and chief operating officer of McDermott, said in a company statement.

“After a long engagement on the project, the collaborative execution model with Woodside - from pre-FEED through to EPCIC - de-risks execution. Further, the facilities incorporate energy efficiency in design to reduce Scarborough's offshore emissions,” Mukherjee added in the statement.

Commenting on the contract, Mahesh Swaminathan, McDermott’s senior vice president of Asia Pacific, said, “McDermott will apply our long history of successful integrated project delivery for the Scarborough Project, along with our deepwater expertise and industry-leading health and safety standards to drive this incredible project to completion”.

On February 5, 2019, McDermott announced that it had signed a contract with Woodside to undertake  front-end engineering and design activities for an FPU for the Scarborough field gas development in Western Australia. In a company statement at the time, McDermott noted that, upon completion, the contract included the option to progress to an engineering, procurement, construction and installation contract should the project be approved for full development by Woodside and its Scarborough joint venture partners.

The Scarborough gas resource is located in the Carnarvon Basin, approximately 233 miles west-north-west of Karratha in Western Australia, Woodside’s website highlights. The Scarborough gas resource will be developed through new offshore facilities connected by an approximately 267 miles pipeline to a proposed second LNG train at the existing Pluto LNG onshore facility, according to the site.

Woodside’s site notes that the proposal is to initially develop the estimated 11.1 trillion cubic feet of dry gas with eight subsea, high-rate gas wells, and thirteen wells drilled over the life of the Scarborough field, with all wells tied back to a semi-submersible FPU.

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