The mathematical models of the marine riser lowering blowout preventer (BOP) and the drill string lowering subsea Xmas tree are studied based on new type of cylinder hoisting system, in order to explore the feasibility of accurate operation and the performance of the auxiliary underwater equipment with drilling string compensation function. A simulation model of a cylinder hoisting system under the subsea installation condition is built on the AMESim platform. The subsea installation is simulated when the active drill string compensation is opened and closed under the class 4 sea condition. The maximum safe operation height of a single lifting and lowering operation is analyzed to discuss the impact of different sea conditions on the subsea installation. The results show that the cylinder hoisting system greatly improve the safety of the subsea installation due to its own active compensation function, and the sea condition has a great influence on the operation window and limit operation height. The research results can provide certain theoretical guidance for the national engineering implementation and the field application of the cylinder hoisting system.