McDermott has secured a subsea contract from Eni for the Cronos gas field development offshore Cyprus, following the recent final investment decision for the country's first gas development.
Under the contract, worth between $500 million and $750 million, McDermott will provide project management, engineering, procurement and installation support for Cronos.
It marks the company's first subsea project award with Eni and expansion of its presence in the Eastern Mediterranean.
Eni and TotalEnergies took the final investment decision for Cronos in July, with production targeted for 2028 at a plateau of around 500 million cubic feet per day.
Located in offshore Block 6, Cronos is operated by Eni with a 50% interest, alongside TotalEnergies with the remaining 50%.
Gas from the field is planned to be transported by subsea pipeline to Egypt, making use of existing infrastructure including offshore facilities at the Zohr field. It will then be liquefied at the Damietta LNG terminal for export to European markets.
“This award demonstrates the strength of McDermott's integrated subsea engineering, procurement, construction and installation capabilities and reflects the value we bring through our technical expertise and differentiated deepwater asset, the Amazon,” said Mahesh Swaminathan, McDermott's Senior Vice President, Subsea and Floating Facilities.
McDermott's Subsea and Floating Facilities team will execute the project using resources and expertise from Houston, Perth, London and Kuala Lumpur, supported by its marine construction fleet.
The Cronos development is expected to produce the equivalent of around 2.8 million tonnes per annum of LNG, with TotalEnergies set to market 50% of the LNG production, or about 1.4 Mtpa.
Subscribe
