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Subsea7 wins ‘large’ contract for Woodside’s deepwater oil field

March 14, 2024
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Subsea7 wins ‘large’ contract for Woodside’s deepwater oil field
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Home Subsea Subsea7 wins ‘large’ contract for Woodside’s deepwater oil field

March 14, 2024,
by

Nadja Skopljak

Subsea7 has secured what it describes as a “large” contract with Woodside Energy to deliver subsea installation services for a deepwater oil project in the Gulf of Mexico.

Trion FPU concept image; Source: Woodside

The Trion project, which Woodside is developing in partnership with Pemex, involves a wet tree subsea system connected to an infield floating production unit (FPU).

Under the contract defined as being between $300 million and $500 million, Subsea7 is in charge of the engineering, construction, and installation of the subsea umbilicals, risers, and flowlines, as well as the associated subsea architecture.

Project management and engineering will begin immediately from the company’s offices in the U.S. and Mexico, while offshore activities are expected to take place between 2026 and 2027.

Craig Broussard, Vice President for Subsea7 Gulf of Mexico, said: “This award acknowledges our strong partnership with Woodside globally. With our experience in the Gulf of Mexico and proven track record, we can deliver innovative, reliable, fast-tracked solutions that create value for our clients. We are proud to be a part of Woodside and Pemex’s first deepwater development in Mexico.”

The Trion field is located approximately 30 kilometers south of the U.S./Mexico border and 180 kilometers away from the Mexican coastline, at a water depth of 2,600 meters.

The FID for the project was revealed in June 2023 and in August Woodside received a stamp of approval from the Mexican regulator for the field development plan (FDP). The Mexican Ministry for Energy gave its approval for the social impact assessment of the project this February.

The project will be developed through an FPU with an oil production capacity of 100,000 barrels per day, which will be connected to an FSO vessel with a capacity of 950,000 barrels of oil. HD Hyundai Heavy Industries recently awarded a commissioning contract for the FPU to Houston-based Gate Energy, while Wood will deliver the detailed topside design work for the FPU project. 

The forecasted total capital expenditure for Trion is $7.2 billion out of which $4.8 billion is Woodside’s share including capital carry of Pemex of approximately $460 million. The first oil is targeted for 2028.

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