Subsea 7 has secured a contract from BP as a part of the deepwater Mad Dog 2 development nearly 190 miles from New Orleans in the Gulf of Mexico.
The contract is understood to be worth between $300m and $500m.
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Under the contract, Subsea 7 will be responsible for the engineering, procurement, construction and installation (EPCI) of the subsea umbilicals along with associated subsea infrastructure including risers and flowlines (SURF).
Subsea 7 vice-president for the Gulf of Mexico Craig Broussard said: “The Mad Dog 2 project is a significant award for Subsea 7.
“It combines Subsea 7’s capability with our Subsea Integration Alliance value, offering to reduce risk and provide lower cost solutions for BP.
“This project serves as a step-change of how we work in the region and in Subsea 7’s ability to deliver superior value to the industry.”
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By GlobalDataEarlier, Subsea 7 collaborated with BP to provide an integrated solution from design through to commissioning of the project.
Furthermore, by collaborating with OneSubsea, additional areas of cost improvement have been identified to provide greater cost certainty and reduce risk.
This has enabled the original cost of the Mad Dog 2 development to be substantially reduced.
Project management and engineering under this contract will be carried out from Houston in Texas with assistance from Subsea 7’s Global Project Centre in London, UK.
Installation of these offshore projects is scheduled in 2019 and 2020.
Image: BP's Mad Dog platform located in the Gulf of Mexico. Photo: courtesy of BP/ Flickr.
