TechnipFMC has been awarded a substantial contract by Shell to deliver a subsea production system for the Sparta deepwater development in the US Gulf of Mexico.

This marks TechnipFMC’s first integrated engineering, procurement, construction, and installation (iEPCI) project to utilise high-pressure subsea production systems rated up to 20,000psi (pounds per square inch).

Under the contract, TechnipFMC will be responsible for manufacturing and installing subsea production systems, umbilicals, risers and flowlines for Shell’s Sparta development.

TechnipFMC defines a “substantial” contract as one whose value ranges between $250m and $500m.

TechnipFMC subsea president Jonathan Landes said: “Sparta will combine our leading-edge subsea technology with our proven integrated execution model, iEPCI, providing improved project economics. We are excited to be working with Shell on 20K technology.”

Expected to reach peak production of approximately 90,000 barrels of oil equivalent per day, the Sparta development currently hosts estimated recoverable resources of 244 million barrels of oil equivalent.

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These estimates are classified as 2P under the Society of Petroleum Engineers’ Resource Classification System.

Shell Offshore owns a 51% operator stake in the Sparta project while Equinor Gulf of Mexico owns the remaining 49% interest.

The final investment decision for the Sparta development was made in December 2023.

Due to be commissioned in 2028, the Sparta development will mark Shell’s 15th deepwater host in the Gulf of Mexico.

The project spans four OCS blocks in the Garden Banks area of the US Gulf of Mexico.

It will feature a semi-submersible production host in a depth of more than 1,400m (4,700ft) of water. Initially, the development will have eight oil and gas-producing wells.