Subsea7 has secured an engineering, procurement, construction and installation contract from Brunei Shell Petroleum for a pipeline replacement project offshore Brunei. The award covers the installation of subsea pipeline and riser systems for offshore assets in water depths of up to 50 meters.
Brunei Shell Petroleum is a joint venture between the Brunei government and Shell. Subsea7 described the contract as sizeable, a term the company defines as a value between $50 million and $150 million. Project management and engineering will begin immediately from the contractor's office in Kuala Lumpur, Malaysia, with support from offices in Perth, Paris and other locations.
The award builds on a working relationship between Subsea7 and Brunei Shell Petroleum that dates back to 2018. David Bertin, Senior Vice President for Subsea7 Global Projects Centre East, called it an important milestone in that partnership and said the company would work closely with the operator to deliver the project safely and efficiently.
For the wider industry, the contract points to steady brownfield spending in Southeast Asia as operators replace aging subsea infrastructure to keep existing gas and oil assets producing. It also adds to the order backlog for subsea contractors at a time when deepwater and shallow water installation work has been recovering across the region.