Energy service giant Subsea 7 has won the contract for a major North Sea infrastructure project with Shell.
Shell is modifying its Shearwater platform in the central North Sea as it prepares to handle production from more fields in the vicinity.
Dry gas produced by the Shearwater platform currently flows via the Seal pipeline to Bacton on the east coast of England.
Shearwater will be modified and a 23 mile pipeline will be installed linking the installation to the Fulmar Gas Line.
This will allow wet gas to flow into the Segal pipeline.
The gas will initially be processed at the St Fergus plant near Peterhead prior to onward transmission of natural gas liquids to Mossmorran in Fife, where they will be separated and exported to customers.
Luxembourg-registered Subsea has been picked for the Shearwater-Fulmar gas line re-plumb project.
It will provide the 23-mile export line, a rigid riser, control jumper, subsea structures and associated subsea tie-ins.
Work on the project has already begun at Subsea 7’s base in Westhill, near Aberdeen, with support from the firm’s office in Glasgow.
Offshore activities are scheduled for 2019.
Oslo-listed Subsea 7 said the contract was worth somewhere between £40-120 million.
Jonathan Tame, vice president UK and Canada at Subsea 7, said: “For many years Subsea 7 has been chosen by Shell to provide engineering and project execution expertise in the North Sea.
“This latest award further demonstrates our ability to design the right engineering solutions that ensures a safe, effective and cost-efficient project delivery.”