ExxonMobil taps French pipe supplier for its sixth oil development off Guyana

French provider of tubular solutions Vallourec has secured a contract with ExxonMobil to deliver pipe for a deepwater oil development located offshore Guyana.

The contract for the deepwater Whiptail project represents the fourth major order in the framework of the long-term agreement (LTA) signed in 2021 with ExxonMobil Guyana.

Vallourec will deliver over 180 kilometers of line pipe, including X80 grade, a differentiated solution developed and qualified by the company’s R&D teams, following the lots previously booked for the Uaru order.

The project will be served from the company’s Jeceaba (Minas Gerais) mill.

Following the Yellowtail, Gas-to-Energy and Uaru orders, signed under the same LTA, with the Whiptail order Vallourec has now secured orders for approximately 700 kilometers of line pipe for installation offshore Guyana since December 2021.

“This significant new contract represents the fourth under the 10-year frame agreement signed three years ago with ExxonMobil Guyana,” said Philippe Guillemot, Chairman and Chief Executive Officer of Vallourec.

“This is also the second order to include our grade X80, demonstrating Vallourec’s ability to deliver solutions to the industry that are both technological and efficiency enablers. This is a new milestone in Vallourec’s long history with ExxonMobil, and I would like to thank ExxonMobil once again for its confidence in Vallourec and our team for this great work.”

The Whiptail project is located in the Stabroek Block, a 26,800 km2 basin located off Guyana’s continental shelf, where several important discoveries have been made since 2015.

The project encompasses drilling operations via drillships to produce oil from around 40 to 65 production and injection wells. With an expected field life of at least twenty years, it is anticipated to come online in 2027.

The Stabroek block, which covers 6.6 million acres or 26,800 square kilometers, is operated by ExxonMobil with a 45% interest, with partners being Hess Guyana Exploration (30%) and CNOOC Petroleum Guyana (25%).