The Marjan Increment Project aims to boost production of the Marjan field, offshore Saudi Arabia, from 500,000 to 800,000 barrels of oil per day

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Image: The Marjan Increment Project aims to increase production of the Marjan field from 500,000 to 800,000 barrels of oil per day. Photo: courtesy of C Morrison/Pixabay.

McDermott International has been awarded two engineering, procurement, construction and installation (EPCI) contracts, with a combined value of more than $4.5bn (£3.59bn), from Saudi Aramco for the Marjan increment project in the Arabian Gulf.

Marjan increment project package 1 contract

One of the contracts is worth more than $3bn (£2.39bn), which was won by the company in consortium with China Offshore Oil Engineering Company (COOEC), for package 1 of the offshore project. Under this contract, the consortium will provide EPCI of the gas-oil separation plant (GOSP).

The consortium led by McDermott will be responsible for the fabrication of six major topside platforms and jackets weighing a combined 165,000 tons and beyond, 12 bridges and six bridge support platforms and jackets. The contract also calls for the installation of 70km of 36-inch oil export trunk lines and more than 90km of 230kV composite subsea cables.

The offshore package 1 GOSP separation platform, to be built in the eastern flank of the Arabian Gulf, will be the operational centre of the Marjan increment development mega-project.

McDermott said that the engineering phase of the contract is slated to begin in the third quarter of this year, while fabrication is due to be undertaken in the first quarter of next year. The overall completion of the project work is targeted for the fourth quarter of 2022.

Marjan increment project package 4 contract

The other contract was won on its own by McDermott for package 4 of the Marjan increment project, under which, the company will provide EPCI of offshore gas facilities and pipelines.

Valued at more than $1.5bn (£1.2bn), the contract calls for the fabrication of three tie-in platforms and seven wellhead platforms, weighing more than 61,400 tons in total. The contract scope also covers the installation of subsea trunk lines and in-field pipelines in excess of 540km, and the laying of more than 90km of subsea cables, said the company.

The overall completion of the Package 4 contract is targeted for the fourth quarter of 2022.

McDermott Middle East and North Africa senior vice president Linh Austin said: “The award of Marjan Package 4, in addition to Marjan Package 1, is further evidence of Aramco’s confidence in McDermott’s ability to deliver on a project of this scale.

“Our locally focused and globally-integrated approach we refer to as the One McDermott Way, is integral to our ability to provide effective, innovative solutions for our clients.”