By Dominic Chopping
Norwegian oil and gas major Statoil ASA (STO) said Thursday it
has awarded FMC Technologies Inc. (FTI) a NOK1.2 billion contract
for subsea production systems on the Gullfaks South field.
MAIN FACTS:
-Contract includes options to cover Statoil's subsea tie-back
demand in the fast-track portfolio for 2014 and 2015.
-Contract has possible extentions worth NOK4 billion.
-The contractor will deliver subsea equipment for relevant
fast-track projects and tie-back demand in 2014 and 2015.
-Statoil is operator and Petoro is partner.
-The project is contingent on an investment decision which is
expected at the end of summer 2012.
-Pre-investments in subsea production systems have been
undertaken to secure production start-up and taking into account
long lead items.
-Statoil has also this week awarded a contract to Apply Sorco
for performing topside modifications on Gullfaks C. The project is
worth an estimated NOK375 million and will commence
immediately.
-The modifications on the platform are necessary to realise the
subsea wet gas compression, which will increase recovery from the
Gullfaks South reservoir by 22 million barrels of oil
equivalent.
-At 1309 GMT shares traded 1.4% lower at NOK142.10.
-Write to Dominic Chopping at dominic.chopping@dowjones.com