McDermott Nets Atlanta EPS Subsea Gig from QGEP

McDermott announced that the consortium between McDermott and a consortium partner has been awarded the SURF engineering, product supply and installation scope for the Atlanta Early Production System (EPS) in the Santos Basin offshore Brazil by Queiroz Galvão Exploração e Produção S.A. (QGEP).

McDermott engineering and installation revenue from the large, green field project will be included in backlog for the first quarter of 2015. The project is expected to be completed by the end of the second quarter of 2016.

The Atlanta EPS is phase 1 of the Atlanta field development, located in 5,085 feet of water in Brazil Block BS-4 of the Santos Basin southeast of Rio de Janeiro. QGEP recently announced that it expects to produce its first oil from the offshore Atlanta field in the first half of 2016.

“This joint award reflects the confidence that Queiroz Galvão Exploração e Produção has in McDermott and its consortium partner to deliver its scope of work on time and with the highest standards of quality and safety,” said David Dickson, McDermott’s President and Chief Executive Officer.

“This award also represents an important step for McDermott’s strategic plan for Brazil, adding to the Company’s experience as a ‘Long Term Charter’ subsea installation contractor while demonstrating to the market our differentiated capabilities and technical expertise to perform EPCI work in this region,” Dickson said.

McDermott will be responsible for the engineering and offshore installation of all subsea hardware, including flexible pipes, umbilicals, umbilical termination assemblies, subsea pump skids, suction piles, and associated equipment. McDermott’s installation vessel NO102 will conduct on-site work as soon as QGEP’s floating production, storage and offloading (FPSO) unit is available, providing the client with first oil at an accelerated pace, according to Dickson.

McDermott’s consortium partner will be responsible for the supply of all flexible risers, flowlines and associated equipment.

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