Daily Newsletter

29 November 2023

Daily Newsletter

29 November 2023

McDermott secures contract for Shell’s gas field offshore Trinidad and Tobago

The Manatee gas field is expected to have a production capacity of 700 million cubic feet (mcf) of gas per day.

Archana Rani November 29 2023

McDermott has received a limited notice to proceed with the development of Shell’s Manatee gas field development project offshore Trinidad and Tobago.

The notice from Shell Trinidad and Tobago allows McDermott to commence engineering, procurement, construction and installation (EPCI) work for the Manatee project.

The Manatee project scope includes design, procurement, fabrication, transportation, installation and commissioning of a wellhead platform, and offshore and onshore gas pipelines.

This is subject to Shell making a final investment decision (FID) on the Manatee gas project.

McDermott subsea and floating facilities senior vice-president Mahesh Swaminathan said: "This award follows our successful delivery of the front-end engineering design for the Manatee gas field.

"It is testament to McDermott's integrated EPCI capabilities built over the last 100 years around the world including many successful projects in Trinidad and Tobago. We will again deliver for Shell, building on a partnership marked by trust, collaboration and shared success, to execute this important project."

Trinidad and Tobago Energy Minister Stuart Young was cited by Reuters as saying that Shell would approve the project in near future.

Young said: "I expect in a very short time frame I will hear about a FID from Shell on Manatee.”

A Shell spokesperson was cited by the news agency as saying that it plans to make FID on the Manatee conventional gas field development project in 2024.

Due to be commissioned as soon as 2028, the Manatee field is expected to produce 700mcf of gas per day.

The field, which is a part of the cross-border Loran-Manatee discovery shared by Trinidad and Venezuela, is estimated to hold around ten trillion cubic feet of natural gas.

O&G players, with a focus on net-zero emissions, should look at low-carbon hydrogen as a suitable alternative

Low-carbon hydrogen presents an attractive avenue for oil companies focussing on net-zero emissions. Green and blue hydrogen are the main types of low-carbon hydrogen alternatives, with the former still in the early stages of development with most of the upcoming projects around the world at the feasibility stage, and the latter could be an intermediate step for oil and gas companies before moving to green hydrogen. Of the nearly 1,500 hydrogen plants currently being built, about 90% are based on green hydrogen while 8% are based on blue hydrogen.

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