Swedish engineering materials specialist Alleima has landed a subsea tubing contract worth around SEK 995m ($105m) tied to one of Indonesia’s largest offshore gas developments.
The order, awarded by an unnamed subsea technology contractor, will see Alleima supply advanced tubing solutions for the Kutei North Hub project offshore East Kalimantan.
Kutei North Hub is being developed by Searah, the recently formed joint venture between Italy’s Eni and Malaysia’s Petronas, which combines assets across Indonesia and Malaysia.
Located around 50 km offshore, the deepwater development will comprise 16 production wells in water depths of up to 2,000 m. The field will be tied back to a new FPSO capable of processing more than 1 bcf of gas and 90,000 barrels of condensate per day.
Under the contract, Alleima will provide its SAF 2507 advanced umbilical tubes, designed for harsh deepwater environments characterised by high pressures and corrosive conditions. The tubing will form part of the subsea umbilical systems used for hydraulic control, chemical injections, and communications between subsea infrastructure and offshore facilities.
Deliveries are scheduled between 2026 and 2030, with the bulk volume expected to be shipped in 2027.
“The development of large deepwater projects places very high demands on technology, materials and collaboration. Alleima’s experience in advanced corrosion-resistant alloys and reliable seamless tubing solutions makes us well-positioned to support complex offshore projects like this,” said Carl von Schantz, president of Alleima’s tube division.