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Bumi wins $134m Filanovsky deal

Malaysian contractor lands more subsea work from Lukoil on oil and gas field in Caspian Sea

Bumi Armada has won an additional contract from Lukoil for supplementary work at the Russian operator’s Vladimir Filanovsky oil and gas field in the Caspian Sea.

The Malaysian contractor will lay around 20 kilometres of subsea pipeline at the field in a deal valued at about $134 million.

Lukoil moves Filanovsky jackets

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The engineering, procurement, construction and installation deal will be completed by the end of next year, Kuala Lumpur-listed Bumi said on Friday.

In May 2015 Bumi Armada Caspian received a notice of arbitration from Italian underwater trenching company Sea claiming about €28.5 million ($33.54 million today) over a contract previously carried out at the Filanovksy field.

The claim was made in relation to a service contract awarded on 28 September 2012, which was valued at €16.2 million and covered post trenching and backfilling services at the field.

To date Lukoil has so far completed six wells at Filanovsky and is drilling a seventh. It recently installation of the topsides of the ice-resistant platform and an accommodation topsides as part of a second phase development.

The second phase development construction and assembly operations are set to be completed by the end of this year.

The field started operating last year.