Pipeline & Gas Journal’s 2010 International Pipeline Construction Report

Japanese engineering and construction firms Chiyoda and JGC won EPC contracts for the LNG plant. The plant will involve two trains, each with capacity of 3.3 MMt/a, as well as facilities for inlet processing, treating, liquefaction, storage and loading, while a CB&I and Clugh JV won the EPC contract for the gas conditoning plant.. The JV will also be involved in the installation of nearby wellheads, piping and infrastructure associated with the plant.

The PNG LNG joint venture partners include Esso Highlands Limited (as Operator) 41.5%, Oil Search 34.0%, Santos 17.7%, Nippon Oil 5.4%, Mineral Resources Development Company 1.2 %, and Petromin PNG Holdings Limited 0.2%.

Western Europe & EU
While this region continues to show low level pipeline construction activity, currently accounting for only this could soon change. More than 50% of the EU's energy comes from countries outside the union – and the percentage is growing. Making setting up a southern gas corridor of pipeline networks to bring gas from the Caspian Sea region via Turkey a high priority, along with proeucts such as the Nord Stream to link Germany and its neighbors to new gas sources in northern Russia.

Subsea 7 Inc. has been awarded a contract by BP Norway for engineering, procurement and installation and commission of the Valhall Flank Gas Lift Pipelines and wellhead platform riser caisson projects in the Norwegian section of the North Sea. The scope of work involves engineering, procurement and fabrication of subsea and platform components, installation of 2 x 8-inch pipelines (1 x 3.7-mile pipeline + 1 x 4.3 mile pipeline) and 1 new caisson (Nom 30-inch) on the wellhead platform and subsea tie-in spools at the Valhall Flank South and Valhall Flank North platform locations.

The offshore operations are due to take place in two campaigns commencing in the summer 2010.

In the UK North Sea, E.ON Ruhrgas has awarded Technip a $43.5 million lumpsum contract for the development of the Babbage gas field. The project scope includes: project management; design, fabrication, and installation of a 17-miles of gas export rigid pipeline; a 40-metric ton manifold, and three flexible tie-in jumpers; pipeline protection materials installation; trenching and backfilling operations; and pre-commissioning, tie-ins, and testing.

FSU-Eastern Europe
Transneft has commissioned the remaining portion of the first stage of its East Siberia – Pacific Ocean (ESPO) oil pipeline. The first stage of the line runs 2,757 km from Taishet, Irskutsk Region, via Yakutia to Skovorodino in the Amur Region. A 1,100 km section of the first stage was brought online in October 2008.

The second stage of the ESPO will run 2,100 km from Skovoridino to the Pacific coast. It is anticipated that the second stage of the ESPO will be brought online in 2014–15.

The entire ESPO pipeline will extend more than 4,857 km.

Russia’s state-owned Transneft also recently completed construction on a 64 km spur line running from the ESPO pipeline to the Chinese border. The branch is due to start supplying China with oil in January 2011.