QatarEnergy LNG, a subsidiary of QatarEnergy, is advancing a major offshore sustainability initiative, the North Field Production Sustainability (NFPS) project, to maintain output from the world's largest non-associated natural gas field, which it shares with Iran. A key contract, known as COMP 5 and valued at over $5 billion, is nearing award, with a consortium of Italy's Saipem and China's Offshore Oil Engineering Company (COOEC) emerging as the front runner for the engineering, procurement, construction, installation, and commissioning (EPCIC) work. Final negotiations are underway, and a contractor selection is expected within weeks.

Project Scope and Context

The COMP 5 workscope is similar to the earlier COMP 4 package, which was awarded to Larsen & Toubro (L&T) as its largest-ever single order. That scope involved at least two giant offshore compression systems, each comprising a compression platform, flare platform, interconnected bridge, living quarters, and associated facilities. While the precise details for COMP 5 are unconfirmed, it is expected to follow a similar pattern. This contract is part of a multi-phase, multi-year program where QatarEnergy LNG will continue to award contracts for multiple offshore compression platforms.

Previous Contract Awards and Expansion Plans

Saipem was previously awarded a $4 billion contract for the COMP 3A and COMP 3B schemes, a scope that included the EPCI of six large platforms and hundreds of kilometres of subsea pipelines and cables. These sustainability projects run parallel to Qatar's massive LNG capacity expansion. The state is progressing three development phases at the North Field, aiming to boost liquefied natural gas production capacity to 142 million tonnes per annum by 2030. The most recent phase, North Field West (NFW), announced in February 2024, includes offshore facilities and two new liquefaction trains, with project costs potentially exceeding $21 billion due to rising EPC expenses.