SUBSEA 7 has won a $95 mil- lion (£60.5m) engineering and manufacturing contract for oil and gas pipelines which will secure more than 120 jobs in Scotland.

Fabrication work is being done at the company's site in Wick, Caithness, which the company said has a "strong backlog" of existing work.

The customer, an inter-national oil and gas operator which has not been named, is undertaking a project in the UK Central North Sea.

The work involves project management, engineering, procurement and fabrication of a 7.5-kilometre pipeline bundle which will include a production pipeline, gas lift pipeline and control systems.

The system will connect a production well to existing subsea structures and platforms.

The engineering and project management is being run out of the com-pany's London office with offshore operations expected to start in 2014.

Steph McNeill, Subsea 7's vice-president for the UK and Canada, said: "We are pleased to be awarded this major pipeline project with this client, which builds upon our unique bundle technology.

"Fabrication will take place at our Wick facility in Scotland, which has a proven track record of successful bundle design, fabrication and installation.

"We look forward to helping bring on-stream this development project onstream in an efficient, timely and safe manner."

Earlier this year the Wick site won work from a pipeline contract worth more than £63m for BP's Clair Ridge drilling project west of Shetland.

That involved producing a 14km gas pipeline for the development. The 300,000 square metre site at Wick has a 240-metre launch way to help transport the pipes to their offshore destination, 27,000 metres of railway track and three fabrication shops.

Subsea 7, which is listed on the Oslo Stock Exchange and headed by chief executive Jean Cahuzac, also has offices in Aberdeen which employ hundreds of people.

The company operates across Africa, Asia Pacific, Brazil, North America and Europe.

It was established in 2010 when offshore services provider Acergy acquired Subsea 7 in an all-share deal to create a business worth around £3.6 billion employing 12,000 people.