popular articles

Shell awards key contract to Subsea 7 for Sparta offshore project in Gulf of Mexico

Shell has awarded Subsea 7 a contract valued between $50mn and $150mn to install a floating production system for its Sparta offshore project, located off the Louisiana coast.

Please share:

Shell Offshore Inc., a subsidiary of Anglo-Dutch energy company Shell plc, has awarded a substantial contract to Subsea 7 S.A., an offshore engineering and services provider, for its deepwater Sparta development located in Garden Banks block 959 in the Gulf of Mexico. The site lies off southeastern Louisiana, with water depths reaching up to 1,635 metres.

The contract, described as “sizeable,” is valued between $50mn and $150mn and covers the transportation and installation of a floating production system. Engineering and project management operations will commence immediately from Subsea 7’s Houston office, while offshore activities are scheduled to begin in 2027.

Strategic development for Shell and Equinor

The Sparta project marks Shell’s fifteenth deepwater facility in the region, following previous semi-submersible installations at the Vito and Whale sites. The final investment decision was made in December 2023, with production expected to begin in 2028.

The project is 51% owned by Shell, which also acts as the main operator, and 49% by Norwegian firm Equinor ASA through its Gulf of Mexico operational unit. Sparta is expected to reach a peak production of 90,000 barrels of oil equivalent per day, with estimated recoverable resources of 244mn barrels of oil equivalent.

Reuse of existing technical assets

Shell plans to apply a replication strategy for this project, reusing approximately 95% of the hull of the Whale Floating Production Unit (FPU) and 85% of its topsides. This method aims to shorten deployment times and improve cost control on complex offshore projects.

A parallel integrated engineering, procurement, construction and installation (EPCI) contract has been awarded to TechnipFMC, which will deploy high-pressure subsea production systems for site development.

Renewed partnership with Subsea 7

The collaboration between Shell and Subsea 7 continues following previous achievements, such as the development of the Vito field. This new contract underlines Subsea 7’s growing presence in deepwater infrastructure projects, particularly in the Gulf of Mexico basin.

Register free of charge for uninterrupted access.

Publicite

Recently published in

Iraq has signed a deal with China’s Geo-Jade and Hilal al-Basra to develop an integrated project combining oil, refining and electricity in the country’s south.
US commercial crude oil inventories rose by 1.3 million barrels last week, defying market expectations, according to data published by the US Energy Information Administration.
US commercial crude oil inventories rose by 1.3 million barrels last week, defying market expectations, according to data published by the US Energy Information Administration.
As Venezuelan elections approach concerning the oil-rich disputed Essequibo territory, Guyana emphasizes increased vigilance, citing risks to its energy and territorial sovereignty amid Caracas' claims. ##
As Venezuelan elections approach concerning the oil-rich disputed Essequibo territory, Guyana emphasizes increased vigilance, citing risks to its energy and territorial sovereignty amid Caracas' claims. ##
GATE Energy and HD Hyundai Heavy Industries have signed a memorandum of understanding to jointly pursue international offshore contracts, combining engineering, construction and commissioning capabilities.
GATE Energy and HD Hyundai Heavy Industries have signed a memorandum of understanding to jointly pursue international offshore contracts, combining engineering, construction and commissioning capabilities.
BW Offshore has handed over the operations of the FPSO BW Adolo to BW Energy Gabon while retaining ownership and the vessel lease under previously agreed terms.
Savannah Energy recorded a 19% rise in revenues in the first quarter of 2025, driven by the integration of a new asset in Nigeria and improved cash flows.
Savannah Energy recorded a 19% rise in revenues in the first quarter of 2025, driven by the integration of a new asset in Nigeria and improved cash flows.
Petrobras reaches a crucial milestone for exploring the Foz do Amazonas basin, yet stringent conditions for upcoming permits raise questions about future operations in this strategic region.
Petrobras reaches a crucial milestone for exploring the Foz do Amazonas basin, yet stringent conditions for upcoming permits raise questions about future operations in this strategic region.
PermRock Royalty Trust will pay a monthly distribution of USD371,192.79 on June 13, based on oil and gas production from March 2025 and calculated at USD0.030511 per trust unit.
PermRock Royalty Trust will pay a monthly distribution of USD371,192.79 on June 13, based on oil and gas production from March 2025 and calculated at USD0.030511 per trust unit.
Mazoon Mining, a subsidiary of Minerals Development Oman (MDO), has secured USD 270 million in financing and signed key contracts for Oman’s largest copper concentrate project, aimed at supporting the country’s mining sector.
Côte d'Ivoire signed an agreement with Yaatra Ventures to build a 170,000 barrels/day oil refinery, a $5.1 billion investment aimed at boosting national refining capacity.
Côte d'Ivoire signed an agreement with Yaatra Ventures to build a 170,000 barrels/day oil refinery, a $5.1 billion investment aimed at boosting national refining capacity.
The International Court of Justice ruled on the validity of treaties between Gabon and Equatorial Guinea over three strategic offshore islets potentially rich in oil.
The International Court of Justice ruled on the validity of treaties between Gabon and Equatorial Guinea over three strategic offshore islets potentially rich in oil.
Guyana’s Parliament passed a new law requiring oil operators to provide mandatory financial coverage for damages caused by hydrocarbon spills.
Guyana’s Parliament passed a new law requiring oil operators to provide mandatory financial coverage for damages caused by hydrocarbon spills.
Under pressure from investor Elliott, Phillips 66 sells a majority stake in its European fuel station subsidiary for $2.8bn in a move to streamline its portfolio.
The International Energy Agency forecasts a significant rise in global oil stocks due to slowing demand in developed economies and OPEC+'s gradual production increases starting in 2025.
The International Energy Agency forecasts a significant rise in global oil stocks due to slowing demand in developed economies and OPEC+'s gradual production increases starting in 2025.
Africa Oil completed the integration of Prime, doubling its production and reserves, while declaring a second quarterly dividend of $25mn supported by strong cash generation.
Africa Oil completed the integration of Prime, doubling its production and reserves, while declaring a second quarterly dividend of $25mn supported by strong cash generation.
Brazilian oil major Petrobras reported a $6bn net profit in Q1 2025, driven by higher production volumes and a stronger real against the US dollar.
Brazilian oil major Petrobras reported a $6bn net profit in Q1 2025, driven by higher production volumes and a stronger real against the US dollar.
Namibia plans to finalise agreements with TotalEnergies for the Venus oil field and with BWEnergy for the Kudu gas field by the end of 2026, according to the country’s petroleum commissioner.
The Trump administration has announced new sanctions targeting Iran's oil export network to China amid ongoing nuclear talks between Washington and Tehran.
The Trump administration has announced new sanctions targeting Iran's oil export network to China amid ongoing nuclear talks between Washington and Tehran.
Japanese refiners, dependent on Gulf crude for 96.6% of imports, are struggling to diversify supply sources as increased OPEC+ output makes Persian Gulf barrels more competitive compared to US crude.
Japanese refiners, dependent on Gulf crude for 96.6% of imports, are struggling to diversify supply sources as increased OPEC+ output makes Persian Gulf barrels more competitive compared to US crude.
Esso’s Gravenchon site restarts operations following a planned shutdown involving 1,000 workers and over 750,000 labour hours.
Esso’s Gravenchon site restarts operations following a planned shutdown involving 1,000 workers and over 750,000 labour hours.
Oil prices climbed following a joint decision by Washington and Beijing to temporarily suspend tariffs, easing pressure on global demand.
Shell announced a delay in bringing two new wells online at the Perdido offshore field, temporarily lowering production targets in the Gulf of Mexico.
Shell announced a delay in bringing two new wells online at the Perdido offshore field, temporarily lowering production targets in the Gulf of Mexico.
Lower sales revenues and rising operational costs impacted Aramco’s results, while the company remains central to Saudi Arabia’s economic strategy.
Lower sales revenues and rising operational costs impacted Aramco’s results, while the company remains central to Saudi Arabia’s economic strategy.
Oil prices climbed on Friday, supported by the signing of a trade agreement between the United States and the United Kingdom, reviving expectations of easing global tensions.
Oil prices climbed on Friday, supported by the signing of a trade agreement between the United States and the United Kingdom, reviving expectations of easing global tensions.

Advertising