Saipem, in partnership with two Nigerian firms, KOA Oil & Gasoline and AVEON Offshore, has secured an offshore contract valued at roughly $1 billion from Shell Nigeria Exploration and Manufacturing Firm Restricted (SNEPCo).
This collaboration marks a vital step ahead within the Bonga North Venture, a deepwater oil and gasoline initiative positioned 130 kilometers off the Nigerian coast.
In a press release launched by Saipem on its web site, the contract encompasses the Engineering, Procurement, Development, and Set up (EPCI) of risers, flowlines, subsea umbilicals, and related subsea constructions.
Saipem’s share of the deal is estimated at $900 million, whereas the design and fabrication actions will combine contributions from Nigerian suppliers and subcontractors, underscoring a dedication to native content material improvement.
In keeping with Saipem, “The venture is expounded to the tieback of wells to the prevailing FPSO. Saipem’s scope of labor encompasses the Engineering, Procurement, Development and Set up (EPCI) of risers, flowlines, subsea umbilicals, and related subsea constructions.
“Design and fabrication actions might be carried out domestically, additionally involving Nigerian suppliers and subcontractors,” the corporate said.
Tinubu lauds Shell’s improvement of Nigeria’s first deepwater oil enterprise in over a decade
President Bola Tinubu, final week, welcomed the FID by Shell and its companions for the Bonga North Deep Offshore Subject.
In keeping with a press release by the President’s Particular Adviser on Info and Technique, Bayo Onanuga, “the landmark improvement” marks Nigeria’s first deepwater oil enterprise in over a decade.
He attributed the event to the affect of the President’s insurance policies and reforms in drawing investments to the oil and gasoline sector.
“The Renewed Hope Agenda basically focuses on attracting investments to remodel the Nigerian economic system and ship prosperity to our folks. We designed our insurance policies and reforms from the beginning of my administration to realize this aim. Shell and its companions’ resolution to spend money on Bonga North affirms the success of our efforts. We are going to proceed to supply the required help to make sure their success and the realisation of Nigeria’s power potential,” President Tinubu was quoted within the assertion.
What you must know
The Bonga North Venture will contain the drilling, completion, and start-up of 16 wells, comprising eight manufacturing wells and eight water injection wells.
- These operations will tie again to the Shell-operated Floating Manufacturing, Storage, and Offloading (FPSO) vessel Bonga in Oil Mining Lease (OML) 118.
- Notably, the Bonga FPSO achieved a historic milestone in 2023 by producing its one-billionth barrel of crude oil since operations started in 2005.
- The Bonga North venture is anticipated to supply as much as 110,000 barrels of oil per day at its peak.
Saipem is a worldwide chief within the engineering and development of main initiatives for the power and infrastructure sectors, each offshore and onshore.
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