The Ichthys gas field holds an expected operational life of 40 years and involves some of the largest offshore facilities in the industry and advanced onshore LNG processing and exporting facilities


Image: Offshore installation of the URF and SPS equipment is planned to start in 2020. Photo: courtesy of INPEX.

McDermott International, a US-based EPCI company, and Baker Hughes, a GE company, were awarded contracts for Ichthys Liquefied Natural Gas (LNG) field development, located approximately 220kms off the northwest coast of Western Australia.

Under the contract, both the companies would provide a joint URF and SPS EPCI solution, with a new subsea well gathering system (GS4), tied back to the existing central processing facility. The water depths in the field range from 240m to 270m.

In addition, the companies would also provide in-fill URF EPCI scope, with the development of new subsea wells tied-in to the existing gathering systems.

Ichthys LNG marks one of the largest and most composite resource developments in the world.

McDermott and BHGE would lead the project from the joint Project Management and Engineering office based in Perth, Australia.

McDermott is expected to undertake the fabrication of the subsea URF equipment at its fabrication facility in Batam, Indonesia, and is also expected to deploy its latest derrick lay vessel, DLV 2000 for the field development.

McDermott Asia Pacific senior vice president Ian Prescott said: “McDermott’s alliance with BHGE is a combination of two leaders in subsea development. McDermott’s majority share of this award is a testament to our expertise in executing large and complex subsea EPCI projects. Our experience will ensure delivery during the next phase of this key gas field development.”

BHGE’s scope of contract for Ichthys LNG project

Using the Subsea Connect execution model, BHGE is expected to deliver the SPS scope that includes vertical christmas trees, associated production control systems, distribution equipment and topside controls as well as associated installation and commissioning support services.

BHGE regional OFE vice president Graham Gillies said: “We have brought together core elements of our Subsea Connect approach, leveraging early engagement, advanced technology, and our flexible partnership model to deliver improved project economics and certainty for Ichthys LNG. This award is a true example of how the industry is changing its approach to subsea projects.”

Offshore installation of the URF and SPS equipment is planned to start in 2020 and completed in 2023.