TechnipFMC Receives Notice to Proceed for Northern Endurance Partnership’s Carbon Capture and Storage Project

Rhea-AI Summary

TechnipFMC (NYSE: FTI) has received full notice to proceed with a major carbon capture and storage project for the Northern Endurance Partnership (NEP), a joint venture between bp, Equinor, and TotalEnergies. The contract, valued between $500 million and $1 billion, involves delivering an all-electric subsea system using TechnipFMC's integrated Engineering, Procurement, Construction, and Installation (iEPCI™) model.

The scope includes supplying and installing trees, manifolds, umbilicals, and infield flowlines for the UK's East Coast Cluster. This marks the first all-electric integrated project for carbon transportation and storage, utilizing TechnipFMC's technology to enable extended distances.

Positive

• Secured large contract valued between $500 million and $1 billion
• Strategic entry into growing carbon capture and storage market
• Project demonstrates company's technological leadership with first all-electric integrated system
• Partnership with major energy companies (bp, Equinor, TotalEnergies)

Negative

• None.

Insights

Financial Analyst

This $500 million to $1 billion contract represents a significant revenue boost for TechnipFMC and strengthens its position in the growing carbon capture and storage (CCS) market. The project's innovative all-electric subsea system showcases the company's technological leadership and ability to secure high-value contracts in the energy transition sector. The partnership with major energy companies like bp, Equinor and TotalEnergies adds credibility and potential for future collaborations. This contract will positively impact TechnipFMC's backlog and provides good revenue visibility for the coming quarters. The execution phase entry indicates reduced project risks and clearer cash flow expectations.

Tech Expert

The all-electric subsea system marks a technological breakthrough in carbon capture infrastructure. Traditional hydraulic systems are being replaced with more efficient and environmentally friendly electric solutions, enabling operations over extended distances. TechnipFMC's integrated iEPCI™ model streamlines project execution by combining engineering, procurement, construction and installation under one provider. This approach typically results in better project economics and reduced interfaces. The technology's ability to handle extended distances is important for large-scale CCS projects, positioning TechnipFMC as a key enabler in the decarbonization infrastructure space.

NEWCASTLE & HOUSTON--(BUSINESS WIRE)-- TechnipFMC (NYSE: FTI) has been given full notice to proceed with the previously announced contract for the first all-electric integrated project by the Northern Endurance Partnership (NEP), a joint venture between bp, Equinor, and TotalEnergies. This notice follows NEP’s announcement of financial close and entry into the execution phase of the carbon dioxide (CO₂) transportation and storage infrastructure in the United Kingdom’s East Coast Cluster.

The contract covers the supply and installation of an all-electric subsea system, including trees, manifolds, umbilicals, and infield flowlines, which will be delivered using TechnipFMC’s integrated Engineering, Procurement, Construction, and Installation (iEPCI™) execution model. The Company’s all-electric technology enables the extended distances required for the project.

Luana Duffé, Executive Vice President, New Energy at TechnipFMC, commented: “We are excited to see this development move forward, as it is a significant milestone for the United Kingdom and our Company. TechnipFMC will leverage its industry-leading subsea expertise and proprietary technologies to deliver the first all-electric iEPCI™ for carbon transportation and storage.”

(1) For TechnipFMC, the contract is categorized as a “large” award, valued between $500 million and $1 billion. This award was included in inbound orders in the third quarter of 2024.

Important Information for Investors and Securityholders

Forward-Looking Statement

This release contains "forward-looking statements" as defined in Section 27A of the United States Securities Act of 1933, as amended, and Section 21E of the United States Securities Exchange Act of 1934, as amended. The words “expect,” “believe,” “estimated,” and other similar expressions are intended to identify forward-looking statements, which are generally not historical in nature. Such forward-looking statements involve significant risks, uncertainties and assumptions that could cause actual results to differ materially from our historical experience and our present expectations or projections. For information regarding known material factors that could cause actual results to differ from projected results, including our assumptions and projections regarding the expected benefits of the awarded contract, please see our risk factors set forth in our filings with the United States Securities and Exchange Commission, which include our Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K. We caution you not to place undue reliance on any forward-looking statements, which speak only as of the date hereof. We undertake no obligation to publicly update or revise any of our forward-looking statements after the date they are made, whether as a result of new information, future events or otherwise, except to the extent required by law.

About TechnipFMC

TechnipFMC is a leading technology provider to the traditional and new energy industries, delivering fully integrated projects, products, and services.

With our proprietary technologies and comprehensive solutions, we are transforming our clients’ project economics, helping them unlock new possibilities to develop energy resources while reducing carbon intensity and supporting their energy transition ambitions.

Organized in two business segments — Subsea and Surface Technologies — we will continue to advance the industry with our pioneering integrated ecosystems (such as iEPCI™, iFEED™ and iComplete™), technology leadership and digital innovation.

Each of our approximately 21,000 employees is driven by a commitment to our clients’ success, and a culture of strong execution, purposeful innovation, and challenging industry conventions.

TechnipFMC uses its website as a channel of distribution of material company information. To learn more about how we are driving change in the industry, go to www.TechnipFMC.com and follow us on X @TechnipFMC.

View source version on businesswire.com: https://www.businesswire.com/news/home/20241211135584/en/

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Source: TechnipFMC plc

FAQ

What is the value of TechnipFMC's Northern Endurance Partnership contract?

The contract is valued between $500 million and $1 billion, categorized as a 'large' award by TechnipFMC.

What technology is TechnipFMC using for the NEP carbon capture project?

TechnipFMC is implementing its all-electric subsea system and iEPCI™ execution model, including trees, manifolds, umbilicals, and infield flowlines.

Who are the partners in the Northern Endurance Partnership with TechnipFMC (FTI)?

The Northern Endurance Partnership (NEP) is a joint venture between bp, Equinor, and TotalEnergies.

When was the NEP contract included in TechnipFMC's (FTI) inbound orders?

The contract was included in TechnipFMC's inbound orders in the third quarter of 2024.

Where is TechnipFMC's carbon capture and storage project located?

The project is located in the United Kingdom's East Coast Cluster.