The Houston engineering and construction firm McDermott International has been awarded a subsea service contract for an deepwater project operated by Shell in the Gulf of Mexico.
McDermott said that Shell’s offshore exploration and production arm awarded the company a contract to install a new subsea umbilical and flowline installation for the Great White Frio development.
Located in U.S. waters of the Gulf of Mexico about 135 miles east of Brownsville, the offshore project will include the installation of a 2,000-foot long steel flying lead and the installation of two electrical flying leads in the Alaminos Canyon at a depth of 8,000 feet.
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Terms of the deal were not disclosed but McDermott described the contract as being worth between $1 million and $50 million.
McDermott will perform all project management and engineering work in Houston. The offshore installation work is expected to complete in mid-2019.
The Great White development is part of Shell’s Perdido project, which has the capacity to produce up to 100,000 barrels of oil and 200 million cubic feet of gas per day