American engineering company McDermott has received a contract from Shell Trinidad and Tobago for the Manatee gas field development project.
In a news release yesterday, the company said it received limited notice to proceed with an engineering, procurement, construction and installation (EPCI) contract to do work on the field located off the east coast of T&T.
The release stated that subject to Shell taking a final investment decision, the Manatee project scope is for the design, procurement, fabrication, transportation, installation, and commissioning of a wellhead platform, offshore and onshore gas pipelines.
"This award follows our successful delivery of the front-end engineering design for the Manatee gas field," said Mahesh Swaminathan, McDermott's senior vice president, Subsea and Floating Facilities.
"It is testament to McDermott's integrated EPCI capabilities built over the last 100 years around the world including many successful projects in Trinidad and Tobago. We will again deliver for Shell, building on a partnership marked by trust, collaboration, and shared success, to execute this important project."
The Manatee field is a conventional gas development and once commissioned, gas will supply both domestic and export markets from Trinidad and Tobago.
The Manatee field is part of the cross-border Loran-Manatee discovery, shared by Trinidad and Venezuela. The field is believed to hold around 10 trillion cubic feet (Tcf) of natural gas, with 7.3 Tcf on Venezuela’s side and the remaining 2.7 Tcf on Trinidad’s side.
In 2019, the T&T Government and Venezuela executed an agreement to allow each country to independently develop its share of hydrocarbon resources from the Loran-Manatee gas field. The gas field straddles the maritime border between T&T and Venezuela.
The National Gas Company (NGC) and Shell signed an amended domestic gas sales contract to incorporate a share of the natural gas volumes from the Shell-operated Manatee field, once the project is sanctioned.
In a statement, NGC said the amended sales contract entitles NGC to purchase gas produced from one of the country’s largest offshore fields, to supply to the downstream sector across the medium term.
Speaking at the event, NGC’s President Mark Loquan applauded the efforts made to realise this milestone agreement.
“Manatee represents a significant resource for Trinidad and Tobago, and every step we take toward bringing this field online brightens our prospects for future domestic supply. Our teams have laboured to bring us to this point, and we acknowledge with deep gratitude the quantum of work delivered, as well as the impact it will have for our country. We do recognise that we have some distance to travel before we can access gas from Manatee, but we are committed to the outcome and optimistic that we can bring this project to fruition, in partnership with all stakeholders.”