TechnipFMC plc ( FTI Quick Quote FTI - Free Report) , a leading provider of subsea engineering, procurement, and construction services, has been awarded a contract by TotalEnergies EP Angola and its Block 17 Partners to install flexible pipe and associated subsea structures for the Girassol Life Extension (GIR LIFEX) project. Understanding the Contract Scope
The contract, which is valued between $75 million and $250 million, is expected to be completed in 2025. This is the second contract that TechnipFMC has been awarded for the GIR LIFEX project.
The Girassol field is a major oil producer in Angola, with more than 1 billion barrels of oil produced to date. The GIR LIFEX project will involve the installation of a flexible pipe to connect new production wells to the existing production infrastructure. The flexible pipe will be installed using TechnipFMC's innovative Flexlay technology, which allows for the installation of pipes in deepwater and harsh environments. These flexible pipes play a crucial role in transporting oil and gas from subsea wells to the surface facilities.
The Significance of the Girassol Life Extension Project
The GIR LIFEX stands as a testament to the industry's dedication to maximizing the potential of existing assets. TotalEnergies EP Angola, together with Block 17 Partners, entrusted TechnipFMC with a contract of paramount importance. This project entails the installation of flexible pipe and associated subsea structures, a task that requires precision engineering and seamless integration to ensure the longevity and efficiency of the offshore infrastructure.
TechnipFMC's Role and Expertise
FTI's involvement in the Girassol Life Extension project is not a mere coincidence but a result of the company's demonstrated expertise in subsea engineering and its commitment to innovation. The president of Subsea at TechnipFMC, Jonathan Landes, highlighted the company's approach, emphasizing the synergy between engineering, manufacturing and installation. This holistic approach empowers clients to achieve their project goals with flexibility and agility, which are crucial aspects in the intricate world of subsea endeavors.
A notable factor that contributes to TechnipFMC's credibility in this domain is its previous engagement with the Girassol development. The company's experience in building subsea tree systems for the original Girassol project has garnered trust and confidence from long-term clients. This foundation of knowledge and proven track record adds to the assurance that TechnipFMC is well equipped to undertake the challenges of the Girassol Life Extension project.
TechnipFMC has a proven track record of delivering successful projects in Angola and is well positioned to complete the aforementioned project on time and within budget. The project is expected to bring a number of benefits to Angola, including increased oil production, increased revenues, job creation and technology transfer.
Zacks Rank and Key Picks
Currently, FTI carries a Zacks Rank #3 (Hold).
Some better-ranked stocks for investors interested in the
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