Bumi Armada Berhad’s (Bumi Armada) wholly owned subsidiary Bumi Armada Caspian LLC (BAC) has signed a supplementary agreement with LUKOIL-Nizhnevolzhskneft LLC (LUKOIL) (Supplementary Agreement) for additional Engineering, Procurement, Construction and Installation (“EPCI”) scope.

Bumi Armada signs USD134Mln contract with Lukoil
Caption: Work/Repair Vessel Armada Iman - Image courtesy of Bumi Armada

The additional scope will involve Bumi Armada’s Subsea Construction assets to lay subsea pipelines and undertake post trenching and back-filling works on sections of the Filanovsky field in the Russian sector of the Caspian Sea. The works are expected to be completed in the second half of 2018 and the total contract value is USD134 million (approximately RM576 million).

Commenting on the supplemental agreement with LUKOIL, Mr. Leon Harland, Executive Director and Chief Executive Officer of Bumi Armada said “Bumi Armada has been working with LUKOIL in the Caspian since 2012 and this Supplemental Agreement highlights the continuing strong working relationship with our client, and our proven track-record to deliver high quality Subsea Construction services in the Caspian Sea.

The work involved in this additional contract with LUKOIL relates to the installation of approximately 20 km of pipelines in the Filanovsky field in the Russian sector of the Caspian Sea and where our team will use both the Armada Installer and Armada Constructor vessels. The project preparation activities have been started and completion of the scope is expected before the end of 2018.”

Source: Bumi Armada