TechnipFMC Awarded Subsea Contract Worth Up to $250 Million for Limbayong Deepwater Project in Malaysia

en.Wedoany.com Reported - On September 15, TechnipFMC announced that its subsidiary FMC Wellhead Equipment Sdn. Bhd. was awarded an integrated Engineering, Procurement, Construction and Installation (iEPCI) contract by PETRONAS Carigali, a subsidiary of Petronas, for the Limbayong deepwater project in Malaysia. TechnipFMC classified the contract as "significant," corresponding to the company's internal contract value range of $75 million to $250 million, and plans to include it in its third-quarter 2026 inbound orders.

The contract covers the full subsea scope of the Limbayong greenfield development and will utilize TechnipFMC's Subsea 2.0 standardized configuration platform and iEPCI integrated execution model. TechnipFMC's announcement did not further disclose the number of subsea wells, flowline lengths, equipment quantities, installation vessel arrangements, or first oil timing under the currently approved plan.

The Limbayong project is located offshore Sabah, Malaysia. When Petronas published its operating progress for the first half of 2026 on August 28, it confirmed that the project had received final investment decision (FID) approval, thereby entering the post-investment-decision execution phase. This subsea contract award is one of the major engineering procurement milestones publicly disclosed following the FID.

Previously published information from Petronas shows that Limbayong is located approximately 120 kilometers offshore Sabah, in water depths of approximately 900 to 1,200 meters, and is a deepwater resource containing both oil and gas. The development plan disclosed in 2021 included 10 deepwater wells and planned to tie back the wellhead production system to the Limbayong floating production storage and offloading (FPSO) unit. At that time, the subsea system included subsea production systems, umbilicals, risers, and flowlines, among other facilities.

TechnipFMC had in fact already been awarded a larger subsea EPCIC contract for the Limbayong project in 2021. At that time, the contract value was classified as "substantial," i.e., $250 million to $500 million, covering 10 deepwater wells and including the design, manufacture, delivery, and installation of subsea trees, manifolds, umbilicals, flexible risers, flowlines, jumpers, and other subsea equipment.

Compared with 2021, the value tier of the new 2026 contract has decreased to $75 million to $250 million, and the official statement only explicitly refers to the "full subsea scope," without re-disclosing the 10 wells, the FPSO tie-back plan, or specific equipment quantities. Therefore, the currently formally approved Limbayong development configuration should be based on the latest 2026 contract and subsequent Petronas engineering announcements, while the 2021 well count and equipment scope can only be used as a historical development plan.

Limbayong is also one of the first deepwater greenfield development projects in Malaysia operated by PETRONAS Carigali itself. Petronas previously stated that other potential resources are located within 18 to 30 kilometers of Limbayong, which could utilize the relevant deepwater infrastructure in subsequent development.

The contract will continue to be executed by TechnipFMC's local Malaysian subsidiary. Under the 2021 project arrangement, TechnipFMC had already specified that the Kuala Lumpur team would be responsible for execution, utilizing its local manufacturing facilities in Malaysia. The new contract was likewise awarded to FMC Wellhead Equipment Sdn. Bhd., continuing TechnipFMC's contracting role in the project's subsea system.