Back to top

Image: Bigstock

TechnipFMC to Supply a Subsea System in Shell's Bonga North Project

Read MoreHide Full Article

TechnipFMC plc (FTI - Free Report) has been awarded a substantial contract by London-based oil major Shell plc’s (SHEL - Free Report) subsidiary, Shell Nigeria Exploration and Production Company (“SNEPCo”), to provide technological support in the subsea production for the development of the Bonga North project in Nigeria.

FTI’s contract with SNEPCo validates its position as a leading provider of technological and innovative solutions in the energy industry.

FTI’s Transformative Technology to Enhance Efficiency

FTI’s scope of work under this project is valued between $250 million and $500 million, highlighting its commitment to delivering technologically reliable and innovative subsea solutions. The company’s scope of work includes the design and manufacture of subsea tree systems, manifolds, jumpers, controls and services, and it will provide its best subsea expertise to ensure operational excellence.

FTI and SHEL’s Future Together

The Bonga North project has an estimated recoverable resource volume of more than 300 million barrels of oil equivalent. The project will also sustain the oil and gas production at the Nigerian facility and targets to achieve 110,000 barrels per day, with the first oil expected to be delivered by the end of the decade. The Shell-operated Bonga Floating Production Storage and Offloading (FPSO) vessel plays a crucial role in sustaining the operations at the Bonga North field in Nigeria, highlighting the importance of collaboration with a leading technology-providing company like FTI.

Shell was the first company to adopt FTI’s subsea configuration solution and deploy it across multiple basins, strengthening FTI’s position to keep providing deepwater solutions in the region.

FTI’s Zacks Rank and Key Picks

London-based TechnipFMC plc is a leading manufacturer and supplier of products, services and fully integrated technology solutions for the energy industry. Currently, FTI has a Zacks Rank #2 (Buy).

Investors interested in the energy sector might look at some better-ranked stocks like Gulfport Energy Corporation (GPOR - Free Report) and ARC Resources Ltd. (AETUF - Free Report) . While Gulfport Energy currently sports a Zacks Rank #1 (Strong Buy), ARC Resources carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.

The U.S.-based Gulfport Energy Corporation is an independent natural gas and oil company focused on the exploration and development of natural gas and oil properties. The Zacks Consensus Estimate for GPOR’s 2024 earnings indicates 108.09% year-over-year growth.

Canada-based ARC Resources is engaged in the exploration, acquisition and development of oil and natural gas properties. AETUF’s expected EPS (earnings per share) growth rate for next year is 51.59%, which aligns favorably with the industry growth rate of 11.70%.

Published in