McDermott International said it was awarded a contract by Total Oman E&P Development B.V. and Oman Oil Company S.O.A.C. for engineering design services at the Sohar LNG Bunkering Project.
This project aims to establish Oman as a regional LNG bunkering hub capable of supplying LNG as a fuel to marine vessels. The front-end engineering design (FEED) contract is valued between US$1 million and $50 million, McDermott said in a statement.
The scope of work during the FEED phase includes fully defining the onshore mid-scale LNG facilities and preparing a competitive tender for the engineering, procurement, supply, construction and commissioning phase, McDermott said.
The global LNG bunkering market is entering a rapid growth period driven largely by the international Maritime Organization's legislation to significantly limit sulphur emissions.
"This award is a reflection of McDermott's 60-year history of delivering innovative LNG solutions worldwide, beginning with our tank storage solutions in the 1950s, to our liquefaction capabilities today," said Linh Austin, senior vice president, Middle East and North Africa.
Work on the project will begin immediately and the contract award will be reflected in McDermott's second quarter 2019 backlog.