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Subsea 7 Announces Major $250m Pipelay Contract for Total in the North Sea

01 October 2010

Subsea 7 Inc, one of the world’s leading subsea engineering and construction companies, announced today that it has been awarded a major engineering, procurement, installation and commissioning (EPIC) contract by Total E&P UK Limited for the Laggan Tormore deepwater gas field development, West of Shetland in the North Sea . The contract is valued in excess of US $250 million.

Subsea 7’s principal scope of work comprises the engineering, fabrication and installation of 141km of 8-inch and 2-inch piggy-backed service pipelines and the engineering, supply and installation of 1 x 124km and 1 x 17km control umbilicals and associated subsea structures and tie-ins.

Steph McNeill, Subsea 7’s Vice President – UK, commented:

“I am delighted that Subsea 7 has been awarded this significant pipelay contract for Total’s Laggan Tormore gas field development. The award reflects upon our engineering, project management, procurement, fabrication and offshore execution capabilities and expertise, especially our proven track record of working with Total on major pipelay projects in the North Sea and in the challenging deepwater West of Shetland area. I look forward to playing our part in the safe and timely delivery of this major subsea project over the next few years.”

Project management and engineering work has commenced at Subsea 7’s office in Aberdeen. Phase 1 offshore operations, encompassing pipelines and umbilicals installation and pre-commissioning activities, are scheduled to commence in Q2 2012. Phase 2 offshore operations, encompassing tie-in and commissioning activities, are scheduled to commence in Q2 2013.

Offshore operations will be carried out by a number of Subsea 7 vessels.

The Laggan and Tormore gas fields lie around 125km West of Shetland, in the United Kingdom's continental shelf in water depths of up to 600m.