Statoil Awards FMC Technolgies NOK1.2 Billion Subsea Systems Contract

   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 [e-mail]