Subsea 7 Wins First Contract in South Africa
Subsea 7 has received a Letter of Intent from the Petroleum Oil and Gas Corporation of South Africa (PetroSA) for a contract for the design, supply and installation of umbilicals, protection structures and spoolpieces as part of the South Coast Gas Development in Mossel Bay, South Africa. The contract is valued at approximately US $115 million.
The Engineering, Procurement, Installation and Commissioning (EPIC) contract will commence next month. The total length of umbilicals is around 105km, which includes one of the world's longest subsea umbilicals at 53km. The offshore phase will take place in Q4 2006 / Q1 2007 in water depths of approximately 125 meters. Subsea 7 will utilise two of its construction vessels for the installation works.
Subsea 7's Vice President for West Africa, Jan Willem van der Graaf commented: "This award is very important for Subsea 7 as it is the first major project we have been awarded in South Africa. We welcome the opportunity to procure, transport and install one of the world's longest subsea umbilicals and feel that this contract further strengthens our position as a leading subsea contractor in Africa. We look forward to working with PetroSA for the first time and hope it will lead to further opportunities in the future"
- Subsea 7 Shares Surge On Special Dividend, Q4 Earnings Beat (Mar 02)
- Subsea 7 Takes Delivery of New Vessels (Feb 02)
- Report: Oil, Gas Companies in Aberdeen Face Tax 'Bombshell' (Dec 19)