Van Oord and Subsea 7 consortium awarded contract offshore Guyana

By Van Oord

Rotterdam, the Netherlands, 01 August 2022 – Van Oord and Subsea 7 have been contracted by ExxonMobil affiliate Esso Exploration and Production Guyana Limited (EEPGL) for the Gas to Energy project, offshore Guyana. The consortium scope covers the project management, engineering, and installation of approximately 190 kilometres of natural gas pipeline in water depths up to 1,400 metres, including crossing the seawall onshore. The pipeline runs from the Liza field in Guyana's offshore Stabroek Oil and Gas Block to an onshore natural gas fired powerplant west of the Demerara River, along the coast of Guyana.

Van Oord's scope consists of the shore approach, utilising Horizontal Directional Drilling (HDD) methodology, and installation of 75 kilometres of pipeline nearshore. Van Oord will deploy its shallow water pipelay barge Stingray in water depths of up to 28 metres and start its operations in mid-2023.

Power demand in Guyana is forecast to significantly increase in the next five years along with a fast-growing economy. The project will support Guyana’s low carbon development strategy, which outlines a plan to replace heavy fuel oil with natural gas as the main energy source. The pipeline will transport 50 million standard cubic feet of gas per day. This has the ability to power a 300 megawatt powerplant. The project is designed to deliver significant benefits for Guyana, particularly in generating cleaner, affordable and more reliable electricity.

Hans van Gaalen, Commercial Director for Van Oord, adds: “Van Oord is honoured to have been selected for the Guyana Gas to Energy project in cooperation with Subsea 7. Developing the coastal energy infrastructure for the project will allow our Subsea 7 and Van Oord consortium to positively contribute to the development of Guyana’s electricity supply which in turn will reduce Guyana’s dependence on imported fuels.”

Craig Broussard, Vice President Subsea 7 US, adds: ‘We are honoured to have been selected for Guyana Gas to Energy. This is an important project to support the Guyanese people and we look forward to continuing our relationship with EEPGL in one of the most prolific and exciting development basins in the world.’