Myanmar Shwe Contract Goes to McDermott, BHGE

A consortium of McDermott International, Inc. and Baker Hughes, a GE company (BHGE) has won a contract from POSCO DAEWOO Corp. for the second phase of the Shwe gas field development offshore Western Myanmar, McDermott reported Wednesday.
“McDermott’s strategic alliance with BHGE is a combination of two leaders in subsea development,” Ian Prescott, McDermott’s senior vice president for Asia Pacific, said in a written statement.
Under the contract, the McDermott-BHGE consortium will provide POSCO-DAEWOO with:
- Subsea umbilicals, risers and flowlines (SURF)
- Subsea production systems (SPS) for an eight-well development at a water depth ranging from 279 to 466 feet (85 to 142 meters)
- Brownfield modifications to tie-back the new subsea facilities to the existing Shwe platform

McDermott stated that it will undertake the engineering, procurement, construction, installation and commissioning (EPCIC) of the SURF and brownfield modification scopes of the contract. In addition, the company said that it will use its Kuala Lumpur, Malaysia regional center of excellence for project management and engineering. Also, McDermott noted that fabrication of the SURF structures and production manifolds will take place in the Asia Pacific region. The company added that it will execute the installation and commissioning phase using field service engineering expertise and tooling support from BHGE’s Singapore base.
BHGE will supply the SPS scope, stated McDermott, which pointed out the SPS scope includes:
- Eight Medium-water Horizontal Xmas Trees (MHXT)
- Eight subsea production control systems and distributed equipment
- Topside controls
McDermott also reported that its pipelay assets, including the Derrick Lay Vessel 2000, will carry out installation of the SURF and SPS components.
POSCO DAEWOO operates the Shwe field development, which comprises the Shwe, Shwe Phyu and Mya offshore gas fields in blocks A-1 and A-3 of the Bay of Bengal in Myanmar. Other companies in the Shwe consortium include Myanma Oil and Gas Enterprise, Oil and Natural Gas Corp Videsh Limited, Gas Authority of India and Korea Gas Corp.
According to McDermott, which valued its share of the award within the range of US$50 million to US$250 million, final delivery of the contract should occur in 2022.
WHAT DO YOU THINK?
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.
- Energy Services Sector Will Grow To $1 trillion In 2025
- Will A New Iran Nuclear Deal Be Agreed to in 2023?
- Shell Posts Record 2022 Profit
- Maritime Security Report Shows Incident Trends Down YoY
- Winter Storm Mara Update
- New SPR Bill Passes House
- Westwood: Several Macroeconomic Factors Make 2023 Unpredictable
- Keppel O&M To Deliver Guyana's Third FPSO To SBM Offshore
- Big Oil Shareholders Biggest 2022 Winners With Massive Payouts
- ADNOC Signs Deals With 23 Firms Worth $4.6 Billion
- What Bad Habits Should Oil and Gas Jobseekers Avoid?
- Top Headlines: Valaris Employee Reported Missing from Rig
- Big Oil Saw Record $199Bn Profits In 2022 But 2023 Will Be Different
- Biden To Support ConocoPhillips Alaska Oil Project, Defying Greens
- USA Drops 3 Gulf of Mexico Rigs
- USA Oil and Gas Employs Almost 1 Million in 2022
- Shell Makes Host of Company Changes
- Libya Sees More Deals After Eni's $8B Gas Investment
- $1 Trillion Green Investment Matches Fossil Fuels For First Time
- US Could 'Steal' Green Energy Investments From Other Regions
- Valaris Employee Reported Missing from Rig
- Louisiana, Texas To Gain Thousands of Energy Jobs At Start of 2023
- Gasoline and Diesel Prices Expected to Fall
- Is the USA Shale Boom Over?
- Higher Oil Prices Have Not Led to More Exploration
- Shell Finds Gas In Pensacola High-Impact Well Off UK
- Talos Makes Two Commercial Discoveries In Gulf Of Mexico
- Iran Oil Gushes Into Global Market
- Will Oil Hit $100 Per Barrel in 2023?
- Eni, Chevron Make Significant Gas Discovery Off Egypt