Maersk Oil North Sea UK has awarded a contract to Modec, a global supplier and operator of offshore floating platforms, to supply a floating storage and offloading (FSO) vessel in support of the Culzean development project in the North Sea.
Under the contract, Modec will undertake engineering, procurement and construction of the FSO vessel with a receiving capacity of 25,000 bcpd and a storage capacity of 350,000 barrels.
Modec subsidiary Sofec will be responsible for the design and supply the Internal Turret mooring system.
The company is scheduled to deliver the FSO vessel in the first half of 2018. Terms of the contract were undisclosed.
Modec president and CEO Toshiro Miyazaki said: "This new contract represents a significant milestone for MODEC in gaining entry into the important North Sea oil and gas industry."
Operated by Maersk Oil UK with 49.99% stake, the Culzean high pressure, high temperature (HPHT) gas condensate field is located in the Block 22/25a in the UK Central North Sea, in a water depth of around 90m.
Other partners for the field include JX Nippon with 34.01% stake and BP subsidiary Britoil with the remaining 16% stake.
The field is expected to contain 250-300 million barrels of oil equivalent and can be operational for over 13 years starting from 2019.
Recently, Maersk Oil North Sea UK awarded $1bn engineering, procurement and construction (EPC) contract to Sembcorp Marine subsidiary SMOE for three topsides for the field development project.
Subsea 7 also secured a contract to provide a subsea, umbilical, riser and flowline (SURF) for the project.
The field is expected to reach peak production capacity of 60,000-90,000 barrels of oil equivalent per day, which is about 5% of total demand in the UK, in 2020/21.
Image: Production from the Culzean gas field is expected to commence in 2019. Photo: courtesy of A.P. MOLLER – MAERSK GROUP.