Wood Group Wins Australian FEED Contract from Shell

Wood  Group has secured a front-end engineering and design (FEED) contract for the Woodside-operated  proposed Browse floating liquefied natural gas (FLNG) Development.

Under a new 12 month  contract awarded by Shell, Wood Group Kenny (WGK) will carry out flow assurance  and process integration studies for the proposed development's three offshore  gas-condensate fields - Brecknock, Calliance and Torosa.

The  Browse Joint Venture selected FLNG in conjunction with a subsea development as  the preferred development concept for the Browse resources. An agreement has  been executed with Shell to enable the proposed development to utilise Shell's  FLNG technology.

This is the third FEED  contract WGK has secured for the proposed Browse FLNG Development, which is  located 425km north of Broome, Western Australia. Earlier this month WGK  announced a FEED contract award from Woodside (operator) to progress the  configuration design of the flexible risers and umbilicals, and in July 2015, WGK  announced a US$6 million contract to perform all design engineering for the  development's insulated production flowline system.

The award follows  WGK's successful delivery of the preliminary flow assurance and process  integration studies for the Browse FLNG system during the previous basis of  design (BOD) phase for this deep-water project.

Effective immediately, this contract  will be delivered from WGK's Perth office and adds to Wood Group's 40  years of experience working with Shell globally. This includes WGK's successful  subsea flowline design of Australia's first FLNG facility, Shell Prelude.

Bob MacDonald, CEO of Wood  Group Kenny said: "To be awarded a third FEED contract on the proposed Browse  FLNG Development is testament to our excellent understanding of the asset and the  strong value and performance we have delivered to date. It also reflects  Shell's confidence in our ability to collaborate with them towards the successful  delivery of the next phase of this exciting project.

"We look forward to providing  the expertise and knowledge which will enable the efficient and  effective delivery of this critically important design phase on what is one of  the largest flow assurance projects for Wood Group Kenny."

This is the second major  contract Shell has awarded Wood Group this year. In August, Wood Group PSN  received a letter of award for a new five year, multi-million US dollar  contract to provide integrated engineering, construction, maintenance and  industrial services to Shell's four onshore oil fields in Gabon; Rabi, Gamba,  Toucan and Koula.