Woodside awards contracts for Scarborough Project

16 January 2019 (Last Updated January 16th, 2019 10:26)

Woodside has awarded four contracts regarding front-end engineering design activities to be carried out at the proposed Scarborough Project in Western Australia.

Woodside has awarded four contracts regarding front-end engineering design activities to be carried out at the proposed Scarborough Project in Western Australia.

The contracts are related to the floating production unit, the export trunkline and the subsea umbilical risers and flowlines of the project.

According to Woodside, each contract includes an option to progress to execute phase activities and is subject to a positive final investment decision (FID) being taken on the project by the Scarborough Joint Venture.

The company awarded a contract to McDermott Australia to undertake engineering studies for the floating production unit.

Comprising OneSubsea Australia and Subsea 7 Australia Contracting, the Subsea Integration Alliance consortium has secured a contract to perform engineering studies for the subsea umbilical risers and flowlines.

“We want to continue to maintain the momentum that has been generated during 2018 towards a targeted final investment decision in 2020.”

Woodside also awarded a contract to Saipem Australia to provide export trunkline engineering support services for the development with an option to execute line pipe coating and installation activities.

Intecsea has also secured a contract for export trunkline engineering.

Woodside will initially fund each contract on a 100% basis.

Woodside CEO Peter Coleman said: “We have made good progress since announcing last year that we had increased our stake in Scarborough. The award of these contracts brings us closer to unlocking the Scarborough resource.

“We want to continue to maintain the momentum that has been generated during 2018 towards a targeted final investment decision in 2020.”

Woodside’s preferred concept for the 7.3Tcf (2C 100%) Scarborough gas resource development is through new offshore facilities connected by a 430km export pipeline to the Burrup Peninsula with onshore processing at the expanded Pluto LNG facility.

Achievement of these milestones is subject to all necessary joint venture and regulatory approvals, as well as the finalisation of appropriate commercial arrangements.