Subsea 7 Wins Very Large Petrobras Contract

Subsea 7 revealed on Monday that it has been awarded a “very large” contract by Petrobras for the development of the Mero-3 field offshore Brazil.

The company defines a very large contract as being worth between $500 million and $750 million. The contract scope includes engineering, fabrication, installation, and pre-commissioning of 49 miles of rigid risers and flowlines for the steel lazy wave production system, 37 miles of flexible service lines, and 31 miles of umbilicals and associated infrastructure, as well as the installation of FPSO mooring lines and hook-up.

Subsea 7 said project management and engineering will start immediately at the company’s offices in Rio de Janeiro and Paris. Fabrication of the pipelines will take place at Subsea 7’s spoolbase at Ubu in the state of Vitória. Offshore operations are scheduled to be executed in 2023 and 2024 using Subsea 7’s fleet of reeled rigid pipelay vessels. 

“This contract builds on our strong, collaborative relationship with Petrobras and track record of executing major EPCI projects globally,” Marcelo Xavier, Subsea 7’s vice-president of Brazil, said in a company statement.

“Subsea 7 looks forward to working closely with Petrobras to successfully deliver the project,” he added in the statement.

Mero-3 is located around 125 miles off the coast of the state of Rio de Janeiro, at 7,217 feet of water depth in the pre-salt Santos basin.

Back in March, Subsea 7 announced the award of a “sizeable” contract, which the company defines as being worth between $50 million and $150 million. The scope of work was said to include engineering, project management, and procurement. The name of the company awarding the deal was not disclosed.

Subsea 7 also announced the award of an additional “sizeable” deal and a “substantial” contract in January. The business defines a substantial deal as being worth between $150 million and $300 million.
Source: RigZone