Bluewater scoops Kaombo prize

Dutch contractor Bluewater has scooped a deal from Italy’s Saipem for work at Total’s monster Kaombo field development off Angola.

The Hoofddorp-based company has landed the engineering, procurement and construction contract for a pair of turret mooring systems for the French supermajor’s project in Block 32.

The turret and swivel systems will be part of the two floating production, storage and offloading units to be put on the development, which sits in 1650 metres of water.

Bluewater did not reveal the value of the contract, a spokesperson saying it is confidential.

The spokesperson did say, however, that the units will most likely be fabricated in the Far East, while they will be finished and installed in 2017.

Saipem scooped the $4 billion prize in mid-April for the Kaombo field development project, comprising a $3 billion deal for the two FPSOs and a $1 billion maintenance and operations contract.

The two FPSOs will each have oil-treating capacity of 115,000 barrels per day, water injection capacity of 200,000 bpd and 100 million cubic feet of gas compression capacity. They will also have storage capacity of 1.7 million barrels.

Topsides fabrication will take place at Saipem's Karimun Island yard in Indonesia, with tanker conversion and topsides integration to take place at an unidentified shipyard in the Far East.

The first FPSO unit will be operational by the first quarter of 2017 and the second unit by the second quarter of the same year.

The $1 billion operations and maintenance deal runs for seven years.

Total reached a final investment decision on its $16 billion ultra-deepwater project earlier this week. With a planned production capacity of 230,000 barrels per day, the 59-well development programme will develop an estimates reserve of 650 million barrels.

Earlier on Wednesday, a consortium of France's Technip and Heerema Marine Contractors won the $3.5 billion engineering, procurement, construction and installation and pre-commissioning deal for subsea umbilicals, risers and flowlines for Kaombo.

Work will include the engineering, procurement, fabrication, transport and installation of 18 rigid risers, about 300 kilometres of pipeline and a number of subsea structures.

The agreement covers the transport and installation of about 115 kilometres of client-supplied umbilicals, manifolds, well jumpers and flying leads.

Engineering work will start straight away in France, the Netherlands and Angola with most of the offshore installation scheduled for 2016 and 2017.

Aker Solutions secured the lucrative Nkr14 billion ($2.3 billion) contract to deliver the subsea production system for Kaombo.

The Norwegian engineering giant also set up a joint venture with Angolan contractor Prodiaman Oil Services to supply equipment under the contract, as well as future subsea deals, in line with the Luanda government’s local content requirements.

Aker will provide 20 subsea manifolds and 65 vertical subsea wellsets, as well as associated controls, workover and tie-in systems, for the project, about 150 kilometres off Angola.

Kaombo North will produce from about 35 subsea wells on the Gengibre, Gindungo and Caril discoveries, with the Cola find being a potential future satellite.

Kaombo South will tap the Mostarda, Louro and Canela finds via about 29 wells.

The nearby Salas discovery may be tied back to this floater.

Project sanction was originally due last year but was delayed when Total and Sonangol told contractors to come up with cheaper solutions after rejecting their initial budget-breaking commercial bids.

Oil will be offloaded into shuttle tankers for export, with gas piped to the Angola liquefied natural gas plant at Soyo.

Total has a 30% stake in Block 32 and is currently partnered by Sonangol with 20%, China Sonangol International with 20%, ExxonMobil with 15%, Marathon Oil with 10% and Galp on 5%.

Marathon’s planned sale of its stake to Sonangol for $590 million is due to be finalised shortly.

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