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Press Release

Technip Heerema Alliance wins major Kaombo subsea contract offshore Angola

April 16, 2014

The consortium, comprising Technip and Heerema Marine Contractors (Heerema), was awarded a major lump-sum contract by Total E&P Angola for the engineering, procurement, construction, installation (EPCI) and pre-commissioning for the SURF (subsea umbilicals, risers and flowlines) part of the Kaombo project, located in Block 32 offshore Angola in water depths up to 2,000 meters. The contract is valued at approximately USD 3.5 billion with a Technip share of around 55% and a Heerema share of around 45%.

This project falls within the Technip Heerema strategic alliance formed 15 months ago that offers comprehensive subsea solutions through a unique combination of complementary assets, technologies and capabilities. It provides the industry with a strong and experienced contractor to address the ultra-deepwater market.

The project’s scope of work consists of the engineering, procurement, fabrication, transport and installation of:

  • 18 rigid risers, of the Single Top Tension Riser (STTR) type, including large buoyancy tanks (~40m high, ~6m diameter), flexible top riser jumpers and riser base spools,
  • approximately 300 kilometers (km) of rigid pipe-in-pipe production and single pipe injection pipelines,
  • a large number of subsea structures, piles and steel jumpers.

Besides, it covers the transport and installation of approximately 115km of client-supplied umbilicals, manifolds, well jumpers and flying leads.

The partners will leverage the complementarity of their respective field-proven technologies, thus optimizing the project execution:

  • Heerema’s scope will cover the riser systems, as well as the deeper and heavier pipe-in-pipe (18”/12”) production pipelines,
  • Technip’s scope will include flowlines, flexible pipe manufacturing and installation, umbilical installation, hook-up and pre-commissioning activities

The engineering work will start immediately in the Paris (France), Leiden (the Netherlands) and Luanda (Angola) centers with most of the offshore installation activities being scheduled for 2016 and 2017.

National content is of strategic importance to Technip and Heerema and their Angolan subsidiaries will bring their competencies and expertise to the project. Technip Angola Engenharia will provide engineering and project management services, while Angoflex will fabricate pipeline stalks and execute spooling services to the installation vessel. Heerema Porto Amboim will provide fabrication services for the subsea structures as well as double jointing of line pipe sections that later will be installed by the Deep Water Construction vessel Balder.

The flexible pipes will be manufactured at Technip's FlexiFrance facility in Le Trait (France). The fabrication of the rigid flowlines for reel lay will take place at Angoflex’s spoolbase in Barra do Dande (Angola).

Heerema intends to mobilize its Deep Water Construction vessel, the Balder, to install all STTRs and the pipe-in-pipe (18”/12”) production pipelines. Technip’s vessel, the Deep Blue, will install all the remaining pipelines. Other vessels from Technip's fleet will install the flexibles and umbilicals and provide construction work support.

 

The project is scheduled for completion in the first half of 2018.

Thierry Pilenko, Chairman and Chief Executive Officer of Technip, declared: "This project is the largest subsea contract ever awarded to Technip and strengthens our position in the ultra-deepwater market. This award further reflects the confidence of major industry players, such as Total, in the Technip Heerema Alliance to address the significant challenges of ultra-deepwater projects. We are proud to bring an unrivaled complementarity of capabilities, while leveraging leading-edge technologies, R&D and assets. Furthermore, we are delighted to see that this award validates both companies’ commitment to developing facilities and workforce locally for the benefit of the Angolan energy infrastructure.”

Pieter Heerema, Chairman and Owner of Heerema Marine Contractors, declared: “To be awarded the largest SURF project in the industry to date as the first project for the Technip Heerema Alliance is a fantastic success. This award is a recognition that our clients appreciate the value of the Alliance in delivering safe, robust, competitive and unrivalled solutions for large and complex ultra-deepwater projects. Building on our reputations, we are convinced that we will bring this prestigious project to a successful end. Finally, we are very pleased that the award of the Kaombo project allows us to bring substantial work volumes to our Angolan fabrication and marine transportation companies.

 

Fast Facts

About subsea products

  • Riser: a pipe or assembly of pipes used to transfer produced fluids and or products from the seabed to surface facilities, and transfer injection or control fluids from the surface facilities to the seabed.
  • Spool: short length pipe connecting a subsea pipeline and a riser, or a pipe and a subsea structure.
  • Flowline: a flexible or rigid pipe, laid on the seabed, which allows the transportation of oil/gas production or injection of fluids. Its length can vary from a few hundred meters to several kilometers.
  • Umbilical: an assembly of steel tubes and/or thermoplastic hoses which can also include electrical cables or optic fibers used to control subsea structures from a platform or a vessel.
  • Jumper: a short section of pipe for the connection of two subsea structures.

About the Technip Heerema Alliance
Formed in October 2012, the five-year alliance agreement makes available the complementary assets of the two companies for ultra-deepwater EPCI projects, requiring substantial tensioning capability. It brings:

  • strong project management capabilities and experience in very complex subsea projects,
  • leading edge technologies,
  • international network of engineering centers,
  • unmatched network of logistic bases and manufacturing plants,
  • high tension J-Lay vessels, provided by Heerema through their installation vessels Aegir and Balder,
  • S-Lay and Reel-Lay assets of both companies, as needed.

About Technip in Angola
As a local partner focused on onshore, offshore and subsea engineering solutions, Technip’s activities in Angola include:

  • engineering services through Technip Angola Engenharia Limitada, the first engineering company in Angola, a joint venture between Sonangol (40%) and Technip (60%),
  • umbilical manufacturing with Angoflex Limitada, created in 2002, through an association between Sonangol (30%) and Technip (70%),
  • a reeled steel pipe spoolbase with Angoflex Limitada, inaugurated in 2006 and located in Barra do Dande, North of Luanda.

A total workforce of 590 people is working for Technip in Angola. Among the staff on the payroll, 90% are Angolan nationals.
More information on: http://www.technip.com/en/entities/angola/profile

About Heerema in Angola
Established in 2010, Heerema operates two joint venture companies together with a local partner in Porto Amboim, Angola serving the Angolan offshore oil & gas industry. The activities include:

  • Fabrication of subsea structures, multi-jointing of linepipe, as well as logistical and marshalling services through Heerema Porto Amboim (HPA) Limitada;
  • Marine transportation services for the offshore oil & gas industry through Heerema Marine Angola - Sociedade Angolana de Transportes Limitada.

Both joint ventures currently employ over 325 employees, of which more than 90% are Angolan Nationals.

 

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Technip is a world leader in project management, engineering and construction for the energy industry. From the deepest Subsea oil & gas developments to the largest and most complex Offshore and Onshore infrastructures, our 40,000 people are constantly offering the best solutions and most innovative technologies to meet the world’s energy challenges.
Present in 48 countries, Technip has state-of-the-art industrial assets on all continents and operates a fleet of specialized vessels for pipeline installation and subsea construction.
Technip shares are listed on the NYSE Euronext Paris exchange and ADR is traded in the US on the OTCQX marketplace as an American Depositary Receipt (OTCQX: TKPPY).

 

Public Relations

 
Floriane Lassale-Massip Tél. +33 (0) 1 47 78 79 32 E-mail: press@technip.com
Laure Montcel Tél. +33 (0) 1 49 01 87 81 E-mail: press@technip.com
     

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Kimberly Stewart Tél. +33 (0) 1 47 78 66 74 E-mail : kstewart@technip.com
     
Website http://www.technip.com
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