Baker Hughes, a GE company (BHGE), McDermott International and L&T Hydrocarbon Engineering received a $1.6bn subsea contract for Oil & Natural Gas Corporation’s (ONGC) deepwater project in India.

The ONGC deepwater project covers the DWN-98/2 block construction in the Krishna Godavari basin.

The total peak gas production rate is expected to be nearly 16 million metric standard cubic meters per day. The peak oil production rate will reach 80,000 barrels per day (BPD). BHGE, McDermott and L&T will be responsible for the delivery of all subsea production systems for the project.

The integrated subsea package includes the delivery of 34 deepwater trees, the fetching of subsea umbilicals, risers and flowlines. The working water depth will reach from 300 to 3,200 meters.


“The consortium will provide an integrated solution that not only takes full advantage of the international expertise brought by BHGE and McDermott, but provides a key made-in-India element by LTHE that represents local capabilities as well”, Ian Prescott , McDermott Asia Pacific senior vice president, said.

Besides, BHGE will supply subsea hardware such as trees, manifolds, controls, connection systems, SPS installation tools and services. In addition to that, it will deliver flexible risers and flowlines, umbilical and topside controls.

The company will additionally provide pre-commissioning services for the further phases of the project.

McDermott will transport and install SURF and SPS facilities. The company will use its sources in Kuala Lumpur, Malaysia and Chennai, India. Besides, it will tap its Derrick Barge 30, Lay Vessel North Ocean 105 and Lay Vessel 108 installation assets.


“ONGC took a strategic decision of integrating hitherto separate work packages of SPS and SURF into a single integrated (SPS + SURF) work package tender. This will help to eliminate major interface issues among SPS and SURF packages, resulting in time and cost optimization to the company”, ONGC said.

ONGC counts on the block to start gas and oil production in December 2019 and March 2021, respectively.