IKM to back Subsea 7 on Culzean field work
- Business & Finance
Norway’s IKM has recently secured a contract award from subsea engineering, construction, and services company Subsea 7 for work on Maersk Oil’s Culzean field in the UK North Sea.
Subsea 7 won the subsea, umbilical, riser and flowline (SURF) contract from Maersk Oil back in September 2015. The contract valued more than $150 million was one of the first ones to be awarded by Maersk on the Culzean development. The company will make and install underwater equipment for the gas field.
IKM said engineering work on the project has already begun, with the first phase of offshore operations due to begin in the second quarter of 2017.
“This is a sizeable pre-commissioning SURF project and a significant win for IKM in an extremely competitive environment,” said IKM.
Culzean, considered the largest hydrocarbon discovery in the UK North Sea for over a decade, is located in Block 22/25 of the Central North Sea at a water depth of approximately 90 meters. It is 233 kilometers east of Aberdeen and is expected to produce between 60,000 – 90,000 boepd at plateau production. The project was sanctioned in August 2015, and estimated production will last at least 13 years.
The first production well on Culzean was spudded by the operator Maersk Oil in September 2016 by the Maersk Highlander jack-up rig. The well is the first of six production wells to be drilled on the high pressure / high temperature (HPHT) field, with continuous drilling activity planned over the next five years. First gas is currently expected in 2019.
Offshore Energy Today Staff