en.Wedoany.com Reported - The Maydan Mahzam oilfield revamp project, operated by QatarEnergy, has entered its final bidding stage, with competition narrowing for two Engineering, Procurement, Installation, and Construction (EPIC) packages. Multiple international engineering giants have been shortlisted, and the offshore mega-project, valued at nearly $4 billion, is set to finalize its contractor.
The Maydan Mahzam oilfield is a long-standing key oil and gas asset in Qatar's Persian Gulf waters, located approximately 100 kilometers east of Qatar's coastline near Halul Island, with water depths ranging from 12 to 40 meters. The field has been producing oil and gas for over 50 years, with current output declining annually and existing facilities exceeding their design lifespan. However, significant recoverable oil and gas resources remain in the reservoir, offering considerable development potential. The revamp project, officially named the PS2 Life Extension Project, aims to extend the field's stable production cycle by 30 years through comprehensive upgrades to offshore facilities.
Qatar's national oil production capacity remains at 500,000 to 600,000 barrels per day, with most current oilfield development projects focused on stabilizing existing output and boosting production from major fields. The Maydan Mahzam oilfield currently produces 75,000 barrels of crude oil per day. This revamp project will stabilize and increase production capacity to 95,000 barrels per day through the construction of new wells, upgrades to offshore platforms, and improvements to supporting offshore infrastructure.
The bidding process for the two major EPIC packages officially began in 2024 but faced multiple delays due to various factors. After several months of suspension, major contractors submitted formal bid proposals last month, bringing the project's tendering process back on track. Currently, project operator QatarEnergy has initiated specialized negotiations with leading bidders for both packages. Industry sources indicate that final winning bidders are expected to be announced within the next one to two months.
Based on the latest bidding landscape, the competitive dynamics for both packages have largely become clear. For EPIC-1, only two core contenders remain: Vietnam's Petroleum Technical Services Corporation and China Offshore Oil Engineering Co., Ltd. (COOEC). Indian engineering giant Larsen & Toubro and South Korea's Hanwha Ocean, which also participated in this package, have now exited the top competition.
Public information shows that EPIC-1 involves a massive scope of work, primarily including the construction of a new ten-leg jacket compression processing platform, a utilities and living quarters platform, a large riser platform, and a single-well wellhead jacket equipped with 16 production slots and a gas lift system. This package represents the core infrastructure of the revamp project.
The competitive landscape for EPIC-2 is also becoming clearer, with only U.S.-based McDermott International and China Offshore Oil Engineering Co., Ltd. (COOEC) in direct competition. Italy's Saipem and Europe's Allseas, which previously bid for this package, are now largely out of the final selection. This package focuses on subsea pipeline network construction, encompassing the installation of over 100 kilometers of subsea pipelines, 28 kilometers of umbilical cables, nearly 20 kilometers of power cables, and a series of supporting ancillary facilities.
Industry insiders note that QatarEnergy has yet to announce the final winning bids, with subsequent evaluation details and results expected to be gradually disclosed over the coming weeks. According to estimates, the combined value of the two EPIC packages approaches $4 billion. Due to the continuous rise in global insurance premiums and logistics costs, the overall project cost may increase further.
This project bidding once again highlights the core competitiveness of China's offshore engineering sector in Qatar's offshore oil and gas projects. Previously, QatarEnergy awarded the $4 billion Bul Hanine offshore oilfield development project to COOEC, reflecting Qatar's high recognition of Chinese companies' offshore engineering technology, construction capabilities, and project execution performance. It also underscores Qatar's determination to intensify the development of its strategic domestic oil and gas projects.
