Technip wins flexible pipe supply deal for Petrobras
France-based Technip was awarded a 5-year frame agreement contract from Brazils Petrobras for the supply of around 1,400 kilometers of flexible pipes.
The contract is effective Wednesday, with supply starting in 2013 and orders guaranteed for at least 50% of the total value, which is currently estimated to be worth around $2.1 billion.
The scope of the contract includes the manufacture of over 150 types and diameters of risers, flowlines and associated equipment and accessories.
Deliveries under this frame agreement will be spread over the contract period and order intake recognition will progress as specific work orders are confirmed, the company said.
Flexible pipes for the contract will be produced both at Technip's existing manufacturing site in Vitoria, and also at the companys new manufacturing facility under construction in Açu, Brazil.
Technip said the award underscores the importance of its investment last year in a second flexible pipe plant in Brazil, capable of delivering a range of technologically-advanced flexible pipe products to meet strong demand growth and evolving technology requirements expected in the Brazilian market.
This agreement demonstrates the great potential of flexible pipe solutions to facilitate the development of deeper and more complex offshore oil and gas fields worldwide, said Frédéric Delormel, executive vice president and chief operating officer of Technips subsea segment.
This frame agreement reinforces our leadership in flexible pipes and the subsea industry overall, where we have a unique vertically integrated offer for our clients, combining a global footprint, proprietary R&D and technology, substantial engineering resources, manufacturing plants and a fleet of state-of-the-art vessels, he added.
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