BP hands out Mad Dog contracts


HOUSTON, March 21, 2017 – BP has awarded contracts for subsea work on its Mad Dog 2 project in the US Gulf of Mexico, according to statements released by winners Subsea 7 and OneSubsea on Tuesday.

UK-based Subsea 7 will be responsible for the engineering, procurement, construction and installation (EPCI) of the subsea umbilicals, risers, flowlines (SURF) and related subsea infrastructure.

Financial details for the contract were not disclosed, although Subsea 7 indicated that the package is worth between USD 300 million and USD 500 million.


Meanwhile, OneSubsea, a Schlumberger company, has been awarded an EPC contract to provide the subsea production system (SPS). OneSubsea and Subsea 7 have collaborated together in the past and have a worldwide partnership agreement in the Subsea Integration Alliance.

OneSubsea president Mike Garding spoke about this relationship and what it means for project’s bottom line.

“Our collaborative working relationship with Subsea 7 empowers our organizations to deliver to BP an integrated EPCI capital-efficient solution, which is substantially lower than the original estimated project cost,” said Garding.

Offshore installations are expected in 2019 and 2020, the companies said. Mad Dog 2 is an extension of BP’s Mad Dog field, located about 306 kilometres south of New Orleans, Louisiana.

The expansion project had been delayed for several years due to cost concerns, but was given the green light late last year and expects first oil in 2021.

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