McDermott clinches Manatee gig from Shell

Houston-based McDermott has secured a contract from a unit of LNG giant Shell for the latter’s Manatee gas field development project offshore Trinidad and Tobago.

Shell Trinidad and Tobago awarded the engineering, procurement, construction, installation (EPCI), hook up, and commissioning contract to McDermott.

The award follows the successful delivery of the front-end engineering design, detailed engineering and long lead procurement service contracts for the project’s initial design and execution planning, according to McDermott.

Under the contract scope, McDermott will design, procure, fabricate, hook up, and commission a platform and jacket.

The company will also provide design, installation, and commissioning services for a 32-inch gas pipeline that will connect the platform to a gas processing facility operated by Shell.

The contract scope also includes design, procurement, installation, and testing services for a fiber optic cable.

McDermott did not provide the price tag of the deal.

McDermott clinches Manatee gig from Shell
Image: Shell

Atlantic LNG

Last month, Shell took the final investment decision for the development of the Manatee gas field to supply Trinidad and Tobago’s Atlantic LNG export plant.

The undeveloped gas field is located in the East Coast Marine Area (ECMA) in Trinidad and Tobago.

Manatee will allow Shell to competitively grow its integrated gas business by building on development efforts in the ECMA, one of the country’s most prolific gas-producing areas, it said.

Shell said the Manatee gas field will provide backfill for the country’s Atlantic LNG facility, adding that increasing utilization at existing LNG plants is an “important lever” to maximize potential from Shell’s existing assets.

In December 2023, Trinidad and Tobago has finally signed a restructuring deal with the shareholders of LNG producer Atlantic LNG, Shell, BP, and NGC.

The Point Fortin facility features four trains with a total capacity of about 15 million tonnes per annum of LNG but the facility has been experiencing supply issues due to dwindling domestic gas reserves.

Atlantic LNG’s first train has been idled since 2020 due to reduced gas supplies.

Shell is the operator of Manatee with a 100 percent working interest under the sub-Block 6D production sharing contract.

The project will involve a normally unattended installation platform located in the ECMA acreage with eight development wells via a 110 km pipeline to the Shell-operated onshore Beachfield gas processing facility, for onward export to the Atlantic LNG facility, and to the National Gas Company of Trinidad and Tobago for the domestic gas market.

Shell said Manatee is slated to start production in 2027.

Once online, Manatee is expected to reach peak production of about 104,000 barrels of oil equivalent per day (boe/d) or 604 MMscf/d, according to Shell.

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