March 26 (UPI) -- French services company TechnipFMC said Monday it nabbed a contract for work at an Israeli natural gas field less than a week after a final investment decision.
For undisclosed terms, the French company said it secured a contract from Greek energy company Energean for work on the Karish natural gas field in the Israeli waters of the Mediterranean Sea. Technip under the terms of the agreement will help with design, construction and installation of a floating production storage and offloading unit for Karish, with tie-ins to the nearby Tanin field.
Hallvard Hasselknippe, the president of TechnipFMC's subsea business, said the arrangement caters to the companies experience in floating production units and subsea infrastructure.
"By simplifying subsea field architecture, we help our clients significantly improve their project economics," he said in a statement.
Energean said last week it would used the $405 million from its initial public offering on the London stock exchange to help move forward with a $1.6 billion final investment decision for the Karish and Tanin developments off the coast of Israel.
The FPSO for the development could treat as much as 800 million standard cubic feet of gas per day and store as much as 800,000 barrels of equivalent. A 55-mile pipeline will connect the floating facility to Israeli coastal infrastructure feeding the domestic grid
Energean already has long-term contracts with power producers and industrial companies in Israel. The company plans to drill three wells in the Israeli concession in 2019. Commissioning is expected by 2021.
Israel holds vast natural gas reserves offshore. The Leviathan field, with an estimated 21.5 trillion cubic feet of natural gas reserves, is one of the largest discovered in recent years.