McDermott International has secured a front-end engineering design (FEED) services contract for a subsea gas pipeline that is part of the Bac Lieu LNG-to-power project in Vietnam.

Delta Offshore Energy has awarded the contract that also includes the pre-engineering geotechnical and geophysical survey services.

The pipeline will connect an offshore regassification platform to the planned 3.2GW power plant in Bac Lieu Province.

The power plant is part of the $4.3bn Bac Lieu LNG-to-power project that will also include a two million tonne per annum (Mtpa) floating LNG import terminal.

The LNG for the terminal will be sourced from Magnolia LNG (MLNG), a subsidiary of Liquefied Natural Gas Limited (LNGL)

The development and operation of the Bac Lieu LNG-to-power project will be led by the Singapore-based Delta Offshore Energy.

McDermott North, Central and South America senior vice president Mark Coscio said: “This award illustrates the confidence Delta Offshore Energy and its partners have in McDermott’s ability to deliver a turn-key EPCI solution for the subsea gas pipeline FEED scope for its Sisyphus project.

“We look forward to expanding our partnership and achieving a successful outcome.”

McDermott expects the FEED contract to be converted to EPCI in 2021

McDermott expects the FEED contract to be converted into an engineering, procurement, construction and installation (EPCI) contract in the first quarter of 2021.

The company will provide project management, execution planning and estimation services, while its marine operations will perform installation studies.

McDermott said that its experience in Vietnam and recent work for Delta Offshore Energy has helped it secure the contract.

In 2018, the company secured a transportation and installation subcontract for the Idemitsu Kosan’s (IKC) Sao Vang and Dai Nguyet gas and condensate field developments in the Nam Con Son Basin, located offshore Vietnam.