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An offshore gas development in Vietnam is moving into the execution phase after a key engineering, procurement, construction, installation and commissioning (EPCIC) contract was awarded to a domestic contractor, marking another step forward in the country’s expanding offshore energy sector.
The contract has been awarded to PTSC Mechanical & Construction, a subsidiary of PetroVietnam’s technical services arm, for work on the second phase of the Su Tu Trang gas field development in Block 15-1 offshore southern Vietnam.
The Su Tu Trang (White Lion) gas field is located in the prolific Cuu Long Basin, one of Vietnam’s most active offshore producing regions. The project is being developed in phases to maximize recovery while aligning with the country’s growing demand for natural gas as a transition fuel.
Vietnam has been accelerating gas development projects to support its power generation sector, as the government shifts from coal toward gas-fired and LNG-based energy systems. The country’s broader EPC market is expanding rapidly, driven by increasing industrial demand and large-scale energy infrastructure investments.
Phase 2B of the Su Tu Trang project is expected to build on existing infrastructure, leveraging subsea tie-backs and offshore processing systems to optimize capital expenditure and shorten development timelines.
Under the EPCIC contract, PTSC M&C will be responsible for a full offshore development scope, typically including:
· Offshore platform or wellhead facilities
· Subsea production systems and tie-back pipelines
· Offshore installation and commissioning works
· Integration with existing field infrastructure
The project is expected to adopt a subsea-to-platform development model, where gas produced from subsea wells is transported via pipelines to processing facilities before export to onshore markets.
This approach reflects a broader industry trend toward modular, cost-efficient offshore developments, particularly in Southeast Asia.
As the project enters execution, a wide range of offshore equipment and systems will be required, including:
· Subsea trees and wellheads
· Manifolds and flowlines
· Umbilicals for control and chemical injection
· Gas separation units
· Dehydration and compression systems
· Offshore platforms or tie-in modules
· Subsea pipelines for gas transportation
· Riser systems and connection modules
· Metering and export systems
These systems must be designed for long-term offshore operation, with high reliability and minimal intervention requirements.
Material selection is a critical factor in offshore gas projects, particularly in environments where produced fluids may contain CO₂, water and other corrosive components.
Typical material strategies include:
· Carbon steel for structural components and low-corrosion services
· Stainless steel (316L) for moderate corrosion resistance
· Duplex stainless steel (2205/2507) for enhanced strength and chloride resistance
· Nickel-based alloys (e.g., Alloy 625) for highly corrosive or sour service conditions
The selection depends on factors such as fluid composition, pressure, temperature and lifecycle cost considerations.
In addition to conventional materials, clad plates are expected to be widely used in the Su Tu Trang Phase 2B development, particularly in offshore processing systems.
Clad plates combine a carbon steel base with a corrosion-resistant alloy layer, offering a cost-effective solution for offshore projects where both durability and cost control are essential.
Clad plates are commonly used in:
· Gas separators
· Knock-out drums
· Dehydration units
These vessels are exposed to wet gas and corrosive components, requiring internal corrosion protection.
Offshore gas projects require multiple heat exchangers for cooling and processing. Clad materials are often applied in:
· Shell construction
· Tubesheets
· Channel heads
This is particularly important in systems involving seawater cooling or corrosive process streams.
Clad plates are also used in:
· Pressure vessels within platform modules
· Process piping components (in clad or lined form)
For subsea pipelines, similar concepts are applied through clad or lined pipes, ensuring corrosion resistance in gas transport systems.
The increasing use of clad materials reflects a broader engineering trend toward lifecycle optimization:
· Reduced material cost compared with solid alloy construction
· Improved corrosion resistance in aggressive offshore environments
· Extended service life and reduced maintenance requirements
· Compliance with international standards such as ASME and NACE
This makes clad solutions particularly attractive for EPCIC contractors seeking to balance capital expenditure with long-term operational reliability.
The award of this EPCIC contract to a domestic contractor highlights Vietnam’s ambition to strengthen its local offshore engineering capabilities.
Companies such as PTSC M&C are increasingly positioning themselves as regional EPC players, supported by investments in fabrication yards, offshore fleets and engineering expertise.
This shift toward local execution aligns with broader regional trends, where governments encourage domestic participation in major energy projects to build industrial capacity.
With projects like Su Tu Trang Phase 2B moving forward, Vietnam is expected to remain one of Southeast Asia’s most active offshore gas markets.
The combination of rising domestic energy demand, supportive policy frameworks and expanding EPC capabilities is driving continued investment in offshore developments.
At the same time, the growing adoption of advanced material solutions—such as clad plates and corrosion-resistant alloys—will play a key role in ensuring the technical and economic viability of these projects in increasingly challenging offshore environments.
Nanjing Fugo New Material Tech Co., Ltd. (Fugo Tech) is an ISO 9001 and PED 2014/68/EU certified manufacturer specializing in Clad Material (Explosive Clad Plates & Rolled Clad Plates/Clad Dish Heads/Clad Tube Sheets) and Titanium, Nickel Alloy, Copper Alloy and Stainless Steel products (Pipe/Tube/Fitting/Flange/Forging) which are widely used in the Heat Exchanger, Pressure Vessel, Reactor, Column, Tower, and other process equipment.
Fugo Tech offers different material combinations of Clad Plate (Explosion-welded clad plate/composite plate & Rolled-welded clad plate/composite plate) , and also offers a wide range of materials, including Titanium, Nickel Alloy, Copper, Cu-Ni, and Stainless Steel, along with custom processing services (Tube Sheet drilling, and Dish Head forming) for Oil & Gas, Petrochemical, Chemical, Energy, Paper & Pulp, Marine, Shipbuilding, Environment, Metallurgy, and New Energy Vehicles, with a strong focus on high-performance Clad Plate & Titanium & Nickel Alloy & Stainless Steel solutions.
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Fugo Tech is focused on the manufacturing of clad metal plate and distributes the Stainless Steel, Titanium, Nickel Alloy, Zirconium and other non-ferrous metal pipes, fittings, and flanges.
