Shell is advancing its $20 billion Bonga South West Aparo (BSWA) deepwater project in Nigeria, with a pre-qualification deadline for offshore contractors set for late February. Following this, the company will assess responses to determine which major subsea equipment suppliers will be invited to tender for the project's significant contracts.

Project Overview and Recent Developments

The project features a 150,000 barrels per day floating production, storage and offloading vessel with a 1.8 million-barrel oil storage capacity. Shell's CEO recently met with Nigeria's President, who expressed an expectation for a final investment decision on Bonga South West before the end of his first term in May 2027. Shell clarified that while future investment decisions were discussed, no specific FID promise was made.

Subsea Infrastructure Scope

Phase 1 of BSWA, to be installed in approximately 1400 meters of water, includes extensive subsea infrastructure:

• 12 production wells and 11 water injection wells.
• 26 kilometres of production flowlines and 14 kilometres of water injection flowlines.
• A 100-kilometre gas export pipeline and 35 kilometres of infield umbilicals.

The production flowlines and risers are 10 inches in diameter, the water injection lines are 14 inches, and the gas export pipeline is 12 inches.

Major Contract Packages

Four key contract packages are being offered:

1. Pipelines, Flowlines, Risers, and Installation (EPCI): This largest package, valued between $750 million and $1.25 billion, covers the engineering, procurement, construction, and installation of pipelines, flowlines, and risers, plus the installation of subsea hardware and umbilicals.
2. Subsea Trees and Manifolds (EPC): This package, estimated to be worth over $1 billion, includes the engineering, procurement, and construction of the tree system, manifolds, spools, jumpers, distribution hardware, and control system. The scope covers 23 high-pressure wellheads, six manifolds, and associated equipment.
3. Umbilicals Supply: This package involves the design, engineering, procurement, fabrication, and support for the supply and installation of static and dynamic umbilicals.
4. SPM and Offloading Systems (EPCI): This package covers the engineering, procurement, construction, and installation of the single point mooring system, offloading buoy, mooring, and oil offloading risers.

Shell's Position

Shell's Nigerian exploration company stated it is progressing the BSWA development and will communicate material updates, including FID readiness, through official channels. A company spokesperson emphasized Shell's continued disciplined investment in Nigeria, particularly in deepwater and gas projects, noting that Bonga South West is among the projects that could see future investment decisions.