Pemex awards pipeline contract

June 9, 2000
Petroleos Mexicanos has awarded a $33.6 million contract to a joint venture of Horizon Offshore Inc. and Enron Offshore Services & Technology, a division of Enron Engineering & Construction Co. to install six pipelines in the Bay of Campeche.


Petroleos Mexicanos (Pemex) has awarded a $33.6 million contract to a joint venture of Horizon Offshore Inc. and Enron Offshore Services & Technology, a division of Enron Engineering & Construction Co. (EECC), to install six pipelines in the Bay of Campeche.

This will be the first offshore pipeline installation work for EECC, officials said.

"Enron has now expanded its offshore capability to include pipeline installation, giving the company complete marine capability to engineer, fabricate, install, and commission both platforms and pipelines," said Jamie Dunlap, vice-president of Enron Offshore Services. The division was formed in April 1998.

That same year, Enron formed a consortium with Horizon Offshore and Cigsa, the Mexican fabricator located in Tampico, to pursue business in Mexico. This is EECC's ninth Pemex contract since then.

Other work has included development of a drilling platform, four accommodation platforms, two accommodation modules, and two drilling rig refurbishments, all for the Cantarell field, where the latest project also is located.

This time, Enron's partner is CCC Fabricaciones y Construcciones S.A. De C.V., a marine construction contractor based in Mexico City.

"Our activities in Mexico are part of our strategy for expanding our participation in oil and gas developments around the world," said Dick Westfahl, senior vice-president of global business development for EECC.

This project is scheduled for completion in October, with EECC providing project management, finance, and procurement services.

In addition to platforms and pipelines, EECC is targeting floating production systems, deepwater solutions, and services for gas reinjection and compression facilities for mature fields, such as in the North Sea, said company officials.

EECC provides full-service turnkey marine capability through strategic alliances, acting as either the principal contractor or a consortium partner.