Subsea 7 receives $135 million contract from Shell

Subsea 7 S.A., a provider of engineering, construction and services to the offshore energy industry, has received a contract worth a total of approximately $135 million from Shell U.K. Ltd for work on the Shell operated Fram oil and gas development in the Central North Sea.

The contract scope encompasses the engineering, procurement, fabrication and installation of a 4.5km in-field pipeline bundle of approximately 44-inch diameter, with integrated manifolds and tie-in structures.

Project management and engineering work will commence immediately and will be managed from Subsea 7's offices in Aberdeen, with bundle fabrication taking place at Subsea 7's Wester site fabrication yard in Wick. Offshore activities utilizing a variety of Subsea 7 vessels are scheduled to commence and be completed in 2014.

Steph McNeill, Subsea 7 vice president UK and Canada, said: "We are extremely pleased to have been awarded this significant project from Shell for their Fram field development in the UK. At peak this project will secure work for more than 300 personnel in the North East of Scotland as well as providing employment for numerous other supporting companies in the area.

"Subsea 7 has a well-established track record of safe and successful bundle design, fabrication and installation, with over 70 bundles produced since our first bundle in 1980."