Swedish Alleima Secures $105 Million Subsea Pipe and Cable Contract for Indonesian Gas Project
2026-06-12 10:44
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en.Wedoany.com Reported - Swedish engineering materials specialist Alleima has secured a subsea pipe and cable contract valued at approximately SEK 995 million (about $105 million) to participate in one of Indonesia's largest offshore natural gas development projects. The order was awarded by an undisclosed subsea technology contractor, and Alleima will provide advanced pipe and cable solutions for the Kutei North Hub project offshore East Kalimantan.

The Kutei North Hub is being developed by Searah, a recently established joint venture between Italy's Eni and Malaysia's Petronas, which integrates their assets in Indonesia and Malaysia. Located approximately 50 kilometers offshore, this deepwater development will include 16 production wells at water depths of up to 2,000 meters. The gas field will be tied back to a new floating production, storage, and offloading (FPSO) vessel, which has a daily processing capacity of over 1 billion cubic feet of natural gas and 90,000 barrels of condensate.

Under the contract, Alleima will supply its SAF 2507 advanced umbilical tubing, designed for deepwater conditions in high-pressure, corrosive environments. This product will form part of the subsea umbilical system used for hydraulic control, chemical injection, and communication between subsea infrastructure and surface facilities. Deliveries are scheduled between 2026 and 2030, with the majority of shipments expected in 2027.

"The development of large deepwater projects places extremely high demands on technology, materials, and collaboration. Alleima's experience in advanced corrosion-resistant alloys and reliable seamless tube solutions enables us to effectively support complex offshore projects like this," said Carl von Schantz, President of Alleima's Tube Division.

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