Fluor Bags Malampaya Deep Water Gas-to-Power EPC Deal (Philippines)
Fluor Corporation announced that Fluor Offshore Solutions, a unit of Fluor, has been awarded an engineering, procurement and construction (EPC) support contract for Phase 3 of the Malampaya Deep Water Gas-to-Power Project.
The project is being undertaken on behalf of the Philippine Government by the Service Contract 38 consortium composed of Shell Philippines Exploration B.V. (Operator), Chevron Malampaya LLC and Philippine National Oil Company—Exploration Corporation. This landmark project is among the most significant in the Philippines. Approximately 40 percent of the power for the main island of Luzon is generated by power plants using Malampaya gas. This new contract follows Fluor’s successful completion of the front-end engineering and design (FEED) contract for Phase 3. Fluor booked the undisclosed contract value in the third quarter.
“This new EPC contract for the Malampaya Deep Water Gas-to-Power Project solidifies our strength in the growing global offshore gas market,” said Peter Oosterveer, Fluor’s president for Energy & Chemicals. “Fluor’s long-term presence in the Philippines is a testament to the outstanding work by our professionals, now 2,220 strong, in our Manila and Cebu offices, who are providing full-service project execution.”
Fluor Offshore Solutions is providing detailed engineering, procurement and selected construction support services as well as supporting the Shell team in managing the local fabricator.
Malampaya Phase 3 involves the design, fabrication and installation of a new depletion compression platform that is linked by a bridge to the existing shallow water platform. Fluor is responsible for the engineering and procurement for the new depletion compression platform as well as modifications required on the shallow water platform. Additional Fluor responsibilities include freight forwarding, material management for onshore fabrication and offshore installation, and preparation of work scopes for transportation and installation. The project is being performed locally from Fluor’s burgeoning full-service execution centers in Manila and Cebu as well as a local fabrication yard in the Philippines. The project is under way and is expected to be complete in 2015.
Fluor previously provided ongoing engineering services for the existing shallow water platform from 2000 to 2006 and more recently conducted a hazard and operability analysis for the Malampaya project. Fluor Offshore Solutions recently completed offshore projects in the Middle East, in the East Timor Sea and off the northeast coast of China.
Press Release, October 11, 2012