Subsea 7 Announces $100M Contract With StatoilHydro in Norway
18 August 2008
18 August 2008
Subsea 7 Inc (OSE Symbol: SUB), one of the world's leading subsea engineering and construction companies, announced today that it has been awarded a US$ 100m contract from StatoilHydro for engineering, procurement, construction and installation of the Troll B Gas Injection project in the Norwegian sector of the North Sea.
The Troll B Gas Injection project will be developed with two separate subsea satellite wells, located respectively 3.5 km and 6.5 km south of the Troll B platform. The wells will be connected to the Troll B platform by a single gas injection pipeline and a control umbilical.
Subsea 7's scope is to engineer, procure, fabricate and install a 6.5 km long 12” rigid pipeline, incorporating in-line and end structures for the connection to the satellite wells, in addition to the control umbilicals. Furthermore, Subsea 7 will install two off 200 tonne satellite structures utilising the heavy lift capabilities of one of its new vessels.
Engineering and procurement activities will commence immediately and will be performed at Subsea 7's offices in Stavanger, Norway. Fabrication of the pipeline will be carried out in early 2009 at Subsea 7's new North Sea Spoolbase at Vigra on the north-west coast of Norway. Pipelay operations are due to take place in 2009 and will utilise one of Subsea 7's specialised reeled pipelay vessels. The remainder of the offshore installation scope, which also involves burial of the umbilical and pre-commissioning activities on the complete pipeline system, will be performed in 2010.
Tor Espedal, Subsea 7's Norway Vice President stated, “This contract builds on Subsea 7's successful and long-standing partnership with StatoilHydro on the Vega and Troll developments, which continues to create sustainable value for both parties through integrated working and alignment of interests and expertise. We are pleased StatoilHydro has selected us to work with them on this latest development.”
The contract is a call-off of an option under Subsea 7's existing Troll O2 contract with StatoilHydro.
The Troll field is located in the Norwegian Continental Shelf, approx. 70 km north-west of Bergen, in water depths between 300 and 340 m.