OREANDA-NEWS. Williams (NYSE: WMB) announced today that its proprietary Gulfstar FPS™ (Floating Production System) has been placed into service as Gulfstar One and is now providing oil and natural gas handling for Hess Corporation, the operator of the Tubular Bells field located in the eastern deepwater Gulf of Mexico and Chevron U.S.A. Inc., Tubular Bells' non-operating co-owner.

The floating production system is moored 135 miles southeast of New Orleans in about 4,300 feet of water. It serves as a hub that aggregates production and then combines production handling services with oil and gas export pipeline services, which feed Williams' downstream oil and gas gathering and processing services on the Gulf Coast.

Gulfstar's base capacity is capable of processing up to 60,000 BPD and 132 MMCf/d with additional potential tieback capacity.

"I applaud our project team for their commitment to meet the challenges that made Gulfstar One a success, while achieving top-quartile safety performance," said Evan Kirchen, vice president of project execution, Williams' Atlantic-Gulf operating area. "As intended, Gulfstar's innovative design is connecting energy supplies with the best markets in North America. This project is another great example of how Williams is serving our customers by developing large-scale, complex midstream infrastructure projects in a safe and responsible manner."

In addition to anchor commitments from Hess and Chevron, in December 2013 Gulfstar One LLC executed agreements with Gunflint field owners Noble Energy, Inc., Ecopetrol America Inc., Marathon Oil Company and Samson Offshore Mapleleaf LLC. The Gunflint tieback is designed and engineered with modifications expected to be completed after the Gulfstar project is completed.

Major components of Gulfstar One were built entirely in the United States, creating approximately 7,000 direct and indirect domestic jobs and allowing quick parts replacement and reduced platform downtime. Gulf Marine Fabricators built the hull in Ingleside, Texas, and Gulf Island Fabrication, Inc. constructed the topsides in Houma, La.

Williams Partners (NYSE: WPZ) developed the project and it has a 51 percent ownership interest in Gulfstar One LLC and Marubeni Corporation has a 49 percent interest. Williams owns controlling interests in and is the general partner of Williams Partners.