TechnipFMC Gets Work On Exxon Yellowtail Project Off Guyana

TechnipFMC has been awarded an additional contract and received notice to proceed by U.S. supermajor ExxonMobil for work on the Yellowtail development in the Stabroek Block offshore Guyana.

TechnipFMC said that the contract was awarded by Exxon affiliate Esso Exploration and Production Guyana Limited.

The company did not disclose the value of the deal but did claim that it was a ‘significant’ flexibles contract which covers six risers which are qualified for high pressure and high temperature. A significant contract for TechnipFMC is between $75 and $250 million.

TechnipFMC was also given full notice to proceed with the previously announced contract for the subsea production system, following ExxonMobil’s final investment decision for the Yellowtail project in April.

The initial award of what the company described as a ‘large’ contract was announced in November 2021. TechnipFMC will provide project management, engineering, manufacturing, and testing capabilities for the subsea production system, which includes 51 enhanced vertical deepwater trees and associated tooling, as well as 12 manifolds and associated controls and tie-in equipment. A large deal for TechnipFMC is between $500 million and $1 billion.

The majority of the total contract awards will be included in the company’s second quarter inbound orders.

“We are thrilled that our partnership with the Stabroek Block operator continues to grow. We have an established presence in Guyana to accommodate the level of activity there and we’re committed to further developing local capabilities,” Jonathan Landes, President, Subsea at TechnipFMC, said.

TechnipFMC currently employs 70 Guyanese workers and expects to continue to hire and train additional local staff in support of these awards.

To contact the author, email username.eldina@gmail.com