Turkey, one of the largest LNG importers in the European region, has awarded a European-US consortium a significant contract for the subsea development of the nation’s largest-ever natural gas discovery, the Sakarya gas field in the Black Sea.
State energy company, Türkiye Petrolleri Anonim Ortaklığı (TPAO), has chosen the consortium of Houston-based Schlumberger and Europe’s Subsea 7 for the engineering, procurement, construction and installation (EPCI) at the Sakarya field.
The integrated project scope will cover subsurface solutions to onshore production, including well completions, subsea production systems (SPS), subsea umbilicals, risers, flowlines (SURF) and an early production facility.
Turkey has discovered between 400 billion cubic metres and 530 Bcm of natural gas in the Black Sea Sakarya field in assorted wells.
The project contract includes the provision and installation of infield flowlines, control umbilicals, tie-in connections, associated subsea equipment, 170 kilometres (105 miles) of gas export pipeline and an monoethylene glycol injection pipeline.
The government aims to get Black Sea gas flowing into the national grid in 2023, the centennial of the founding of modern Turkey, with sustained plateau production starting in 2027 or 2028.
Turkey plans to cover up to a quarter of its consumption from the discovery by 2027.
Natural Resources Minister Fatih Dönmez has said the country may be able to start with an initial annual production capacity of 3.5 Bcm in 2023.
The eventual aim would be to lift the Sakarya field capacity to around 15 Bcm per annum within four years of initial production.
Turkey itself currently consumes between 45 Bcm and 50 Bcm of natural gas each year.
Turkish LNG import terminals in 2020 handled 10.72 million tonnes of LNG with its four largest suppliers being Algeria with 3.96MT, Qatar with 2.26MT, the US supplying 2.22MT and a further 1.32MT coming from Nigeria.
The scope of work on the Sakarya field for Subsea 7-Schlumberger comprises the whole EPCI of the subsea pipelines and associated equipment to connect the gas wells at a depth of around 2,000 metres to the shore and gas grid. Turkey has already initiated the production of the pipes for this process.
Subsea 7 said it its statement on the contract that it defines a major contract as being one where its share of revenue is more than $750 million.
Schlumberger will deliver the well completions scope and the design, construction and commissioning of the early production facility capable of handling up to 350 million standard cubic feet per day of gas.
The SPS and SURF scope will be delivered by OneSubsea, the subsea technologies, production, and processing systems division of Schlumberger and Subsea 7.
“Subsea 7 looks forward to building a long-term relationship with Turkish Petroleum and to making a significant contribution to the development and growth of the Turkish energy industry,” said John Evans, Subsea 7 Chief Executive.
“Subsea 7 has a long track record of providing optimised solutions for deepwater developments and we are pleased to be working on this important project,” added Evans.