Royal Dutch Shell has awarded TechnipFMC an integrated engineering, procurement, construction and installation (iEPCI) contact for the PowerNap deep-water project in the Gulf of Mexico.
The contract requires TechnipFMC to design, manufacture and supply subsea distribution controls, subsea tree system, flying leads and connectors for three wells. The company will also deliver 20 miles of production umbilical and flowlines.
TechnipFMC president subsea Arnaud Pieton said: “We are very pleased to have been awarded this iEPCI contract for the Shell PowerNap project. We look forward to executing the scope of work and to further expanding our 25-year successful relationship with Shell and our deep water portfolio in the Gulf of Mexico.”
In August 2019, Shell had taken the final investment decision for the PowerNap project in a bid to bolster its deep-water portfolio in the US Gulf of Mexico region.
Situated around 240km from New Orleans, the PowerNap deep water project is a subsea tie-back to the Shell-operated Olympus production hub.
The project, which was discovered in 2014, is estimated to host over 85 million barrels of oil equivalent recoverable resources. Upon installation, which is expected to complete in late 2021, the project is estimated to produce up to 35,000 barrels per day of oil equivalent at peak rates.
Production from PowerNap will be transported to market on the Mars crude oil pipeline, which is operated by Shell Pipeline Company. Shell Midstream Partners owns a 71.5% stake in the Mars pipeline, while the remaining 28.5% interest is held by BP Midstream Partners.