Subsea 7 S.A. (Oslo Børs: SUBC, ADR: SUBCY) has announced the award of a subsea, umbilical, riser and flowline (SURF) contract by Maersk Oil with a value in excess of USD 150 million for the Culzean development.

The ultra-high pressure, high temperature field, one of the largest gas discoveries offshore UK, is located in Block 22/25 of the Central North Sea at a water depth of approximately 90 meters.

The contract scope includes project management, engineering, procurement, construction and installation of a 22" diameter 52 km gas export pipeline connected to the Central Area Transmission System (CATS), and a 3.6 km pipe-in-pipe (10" outer pipe and 6" inner pipe) providing insulation for the transportation of the condensate to the in-field Floating, Storage and Offloading facility (FSO). The pipe-in-pipe will be laid with a 4" piggy-back line that will transport fuel gas to the FSO. Subsea 7 will also provide subsea structures, tie-ins to the Culzean platform facilities and pre-commissioning expertise.

Project management and engineering work will commence immediately from Subsea 7's Aberdeen office. Offshore activities will utilize a number of Subsea 7 vessels including the highly versatile pipelay and heavy-lift vessel, Seven Borealis.

Offshore operations are scheduled to commence in 2017.

Phil Simons, Vice President UK and Canada, said: "This large project awarded by Maersk Oil for their Culzean field development, confirms our reputation as a world-class provider of reliable and cost-effective SURF solutions. The Seven Borealis has the ability to deliver fit-for-purpose performance demonstrating the optimum balance of cost-efficiency and capability. We look forward to collaborating with Maersk to ensure the safe and timely delivery of this significant gas production development."

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