Houston-based subsea equipment supplier OneSubsea, a Schlumberger company, has been awarded a 20-year subsea equipment and services master contract for subsea development projects in the Gulf of Mexico by oil major Chevron.

This was announced last Friday by OneSubsea’s parent company, Schlumberger, in its second quarter 2019 report.

Schlumberger said that combining this master contract with a pre-approved catalog of standard subsea equipment would enable Chevron to decrease operating costs in its subsea projects.

The provision of a OneSubsea custom catalog of equipment will also include innovative technologies that meet Chevron’s project requirements, including high-temperature projects or high-pressure projects requiring equipment that can withstand up to 20,000 psi.

It is also worth mentioning that, in the second quarter 2019, OneSubsea’s orders totaled $428 million and its backlog at the end of this period was $2.2 billion.

Schlumberger recorded a 14 percent increase in its second quarter 2019 net profit while expecting oil market sentiments to remain balanced. Schlumberger also revealed last Friday that its CEO, Paal Kibsgaard, would retire after eight years in the role. The company has already named Olivier Le Peuch to replace Kibsgaard as of August 1, 2019.