North Caspian Operating Co. (NCOC) has let a $1.8-billion engineering and construction contract to ERSAI Caspian Contractor LLC, a subsidiary of Saipem SPA, for two 95-km, 28-in. pipelines to serve the Kashagan field project in the Kazakh section of the Caspian Sea.
The pipelines, which will connect D island in the Caspian Sea to the Karabatan onshore plant in Kazakhstan, will be made of carbon steel, internally cladded with a corrosion-resistant alloy layer. Each will have an offshore length of 65 km.
The overall scope of work includes engineering, welding materials, conversion and preparation of vessels, dredging, installation, burial, and precommissioning of the two pipelines. Some of the work will be executed with specialized subcontractors, Saipem says.
Construction will be completed by yearend 2016.
Production from Kashagan began in 2013 (OGJ Online, Sept. 11, 2013). The field represents the largest oil accumulation in the North Caspian Sea with estimated reserves of 35 billion bbl OOIP and 9-13 billion bbl recoverable.
