Subsea7 Wins $50m–$150m Pipeline Replacement Contract from Brunei Shell Petroleum
Key Takeaways
- •Subsea7's contract with Brunei Shell Petroleum is valued between $50 million and $150 million for offshore pipeline replacement work.
- •The scope includes engineering, procurement, construction, and installation of subsea pipelines and riser systems in water depths of up to 50 metres.
- •Engineering and project management will start immediately from Subsea7's Kuala Lumpur office with support from teams in Perth, Paris, and other locations.
- •The contract extends a working relationship between Subsea7 and BSP that began in 2018.
- •This award follows other major 2026 wins for Subsea7, including contracts for the Sépia 2 development offshore Brazil valued at over $1.25 billion and the Goliat gas export project valued at $150 million to $300 million.
Subsea7 has been awarded a contract valued between $50m and $150m by Brunei Shell Petroleum (BSP) for a pipeline replacement project offshore Brunei.
Under the agreement, the Oslo-listed offshore engineering contractor will execute the engineering, procurement, construction, and installation (EPCI) of subsea pipelines and riser systems serving BSP's offshore assets in water depths of up to 50 metres. Pipeline replacement work of this type typically addresses aging subsea infrastructure that has exceeded its original design life, a growing maintenance need across mature offshore producing regions in Southeast Asia.
Brunei Shell Petroleum is a joint venture between the Government of Brunei Darussalam and Royal Dutch Shell, and is the principal oil and gas operator in the Southeast Asian nation. Oil and gas exports account for the bulk of Brunei's government revenue and gross domestic product, making the sustained integrity of offshore production infrastructure strategically important to the country's economy.
Engineering and project management activities will commence immediately from Subsea7's Kuala Lumpur office, with additional support from teams based in Perth, Paris, and other locations. The company has not disclosed the specific pipeline lengths, the offshore campaign schedule, or the vessels designated for the work.
The contract extends a working relationship between Subsea7 and BSP that dates back to 2018.
The award adds to a series of significant project wins for Subsea7 in 2026. In May, the company secured a contract valued at $150m to $300m for the Goliat gas export project in the Barents Sea. In April, Subsea7 received an award from Petrobras for the Sépia 2 development offshore Brazil, valued at more than $1.25bn. Additionally, the company has been contracted for engineering and installation work on Murphy Oil Corporation's String Music development in the US Gulf of Mexico.
Subsea7, headquartered in London and listed on the Oslo Stock Exchange, is one of the world's largest offshore energy services contractors, specialising in subsea field development, pipeline installation, and related offshore engineering services.