Qatargas enlists McDermott for North Field offshore compression project

McDermott has landed a substantial contract from Qatargas Operating Company Limited for the North Field Production Sustainability (NFPS) Offshore Fuel Gas Pipeline and Subsea Cables Project, known as COMP1.

The project represents a critical component of the NFPS Offshore Compression Project, which involves installing new assets, including compression complexes, in seven locations within Qatar’s North Field.

McDermott has classified this as a major contract, with a value between $750 million and $1.5 billion.

As a part of this extensive operation, McDermott’s role will be to provide comprehensive engineering, procurement, construction, and installation (EPCI) services. The intention is to ensure sustained gas supply to existing liquefied natural gas (LNG) production trains in the long run. This contract comes on the heels of McDermott’s 2022 North Field Expansion Project (NFXP) contract, one of the largest in the company’s history, which is currently under implementation.

Mike Sutherland, McDermott Senior Vice President, Offshore Middle East, expressed satisfaction at the development, stating, “The COMP1 award reflects the confidence key customers have in our ability to deliver strategically significant energy infrastructure projects in the Middle East.” He further added, “We are delighted to deliver this key pipeline and cable infrastructure and support the extension of the production plateau for the existing LNG trains.”

The contract stipulates installation of 118 miles of subsea pipelines, 11 miles of subsea composite cables, 116 miles of fiber optic cables, and 6 miles of onshore pipelines. All project management and engineering aspects will be handled from McDermott’s Doha office, while fabrication will be carried out at QFAB.

Neil Gunnion, Qatar Country Manager and Vice President, Operations, emphasized the company’s continued commitment to Qatar, stating, “Our continued commitment to Qatar, building end-to-end execution capability in-country and significantly enhancing the local fabrication platform via QFAB, the McDermott-Nakilat joint venture fabrication yard in Qatar, will support continued energy development in the region.”