Subsea7 confirmed the award of a major(1) contract amendment by Petrobras for the development of the Mero 4 field(2) located approximately 200 kilometres off the coast of the state of Rio de Janeiro, Brazil, at 2,200 metres water depth in the pre-salt Santos basin. The award was announced in redacted form on 27 September 2023 and was recorded in backlog in the third quarter of 2023.

The contract amendment scope includes engineering, procurement, fabrication, installation and pre-commissioning of 76 kilometres of rigid risers and flowlines for the steel lazy wave production system.

Project management and engineering will commence immediately at Subsea7’s offices in Rio de Janeiro and Paris. Fabrication of the pipelines will take place at Subsea7’s spoolbase at Ubu in the state of Espirito Santo and offshore operations are scheduled to be executed in 2025 and 2026.

Yann Cottart, Vice-President Brazil said: “This contract builds on decades of experience executing major EPCI projects around the world and extends our portfolio of projects in Brazil. Subsea7 looks forward to continuing its strong, collaborative relationship with Petrobras as we work together to successfully deliver the Mero 4 project.”

(1) Subsea7 defines a major contract as being one where its share of revenue is over USD 750 million.
(2) Mero 4 is the fourth definitive project of Mero Unitized Field in Pre-salt that is operated by Petrobras (38.6%), in partnership with Shell Brasil (19.3%), TotalEnergies (19.3%), CNPC (9.65%), CNOOC (9.65%) and Pré-Sal Petróleo SA (PPSA) (3.5%), representing the Government in the non-contracted area.

About Subsea7

Subsea7 (Oslo Børs: SUBC, ADR: SUBCY) is a global leader in the delivery of offshore projects and services for the evolving energy industry. We create sustainable value by being the industry’s partner and employer of choice in delivering the efficient offshore solutions the world needs.

Subsea7 is listed on the Oslo Børs (SUBC), ISIN LU0075646355, LEI 222100AIF0CBCY80AH62.

About Petrobras

Petrobras has upwards of 100 production platforms, 16 refineries, 30,000 kilometers of pipelines and more than 6,000 service stations. Our proved reserves are around 14 billion barrels of oil, a figure expected to double in the next few years. With the discovery of oil and gas in the pre-salt region, Brazil may become the world's fourth biggest oil producer in 2030.

We have built a track record of overcoming challenges since 1953, when the company was created. The main one was developing technology to explore and produce oil in deep and ultra-deep waters, where upwards of 90% of our reserves are nestled. With innovation and daringness, we are now the Brazilian company that makes the applies for the most patents in Brazil and abroad.