Baker Hughes comes to the rescue in Petrobras subsea re-bid

Two weeks after failing to amass enough offers in a tender to acquire flexible risers to assist in production from seven platforms offshore Brazil, Petrobras found a way to potentially conclude contracting of the key subsea equipment by receiving $250 million worth of bids.

Earlier this month, NOV Flexibles emerged as the sole contender in a bidding competition by submitting an offer to partially supply Petrobras with flexibles for a number of projects in the prolific Campos basin.

The Brazilian giant was seeking 89.7 kilometres of flexible risers and flowlines for oil production, water injection, gas injection and gas lift and split the tender into three packages.

Lot 1 covered 38.3 kilometres of pipes, while Lot 2 was for 19.9 kilometres of lines and Lot 3 was for 37.5 kilometres of risers.

NOV offered 823.1 million reais ($172.5 million) in Lot 3 but there were no takers in lots 1 and 2, as contractors are choosing carefully which tender to bid for as the market for subsea gear is heated.

Petrobras quickly opted for a re-bid and according to industry sources, Baker Hughes came to the rescue with proposals worth 927.6 million reais and 266.8 million reais in lots 1 and 2, respectively, for a total sum of about $250 million.

With bids now completed for all three lots, sources said Petrobras can finally proceed with the contracting of the flexible risers, which will serve ageing platforms at mature fields that are already operational and require new lines to continue producing safely.

The subsea equipment is to be installed at the P-40, P-51 and P-56 semi-submersible production platforms in the Marlim Sul field, the P-48 floating production, storage and offloading vessel in the Barracuda-Caratinga field, the P-53 FPSO in the Marlim Leste field and the P-57 and P-58 FPSOs in the Parque das Baleias cluster.