Re Contract

RNS Number:6835G
Kvaerner PLC
10 July 2001


Kvaerner wins offshore work in South China Sea

LONDON, 10 JULY 2001: Kvaerner, the Anglo-Norwegian engineering and
construction Group, today announced that it has been awarded a contract by the
CNOOC AGIP Chevron Texaco Operator Group, to undertake Front End Engineering
Design (FEED) for its HZ 19-3 Development, located in the Huizhou Field,
offshore China.

Hassan Basma, Managing Director of Kvaerner E&C Singapore, said: "This area of
the South China Sea is well positioned for continued growth and is likely to
generate offshore developments of a similar nature in the future.  Our prior
experience on the HZ-32 Development was a key factor in our success in winning
this new contract."

Kvaerner's scope of work includes the design of production platform topsides,
30 km of insulated pipeline, existing platform modifications, and 35km of
composite power / fibre optic control cable.  The FEED is to be undertaken by
Kvaerner's Singapore office within a fast-track schedule of three months. 
This project follows on from Kvaerner's involvement in the ACT HZ-32 
Development Project, also in the Huizhou Field, comprising two new production
platforms and interconnecting pipelines.   Kvaerner's scope of work included
engineering and design of the topside facilities, pipelines and jacket as well
as modifications to an existing platform.  The facilities were commissioned in
mid-1995.


For further information:  

In the UK, Paul Emberley, Vice President, Group Communications, Kvaerner PLC:
[phone] or [phone] or [e-mail]  or
Vanessa Mourant, Communications Manager, Kvaerner E&C: [phone] or
[phone] or  [e-mail] or in Singapore, Hassan
Basma, Managing Director, Kvaerner E&C, Singapore: [phone] or 
[e-mail] or visit the Group web-site at
http://www.kvaerner.com 

Notes to editors:

1. Kvaerner is a world-class Anglo-Norwegian engineering and construction
Group.  It meets the needs of its customers by adding value to their business
- through the provision of innovative, cost-effective solutions - for
challenges in the hydrocarbons, process and metals industries.  The Group's
activities are currently organised in two core business areas: E&C
(Engineering and Construction), and Oil & Gas.  Kvaerner is a Norwegian
registered business, but has a London, UK-based international headquarters. 
The Group has annual revenues in excess of US$6 billion, with some 35,000
permanent staff located in almost 35 countries throughout Europe, Asia and the
Americas.

2. The E&C business area of Kvaerner specialises in the provision of process
technology, design, engineering, project management, procurement and
construction to a number of industrial sectors on a worldwide basis: chemicals
and polymers, pharmaceuticals, oil and gas, water, energy, nuclear, minerals,
mining, steel and transportation.  Kvaerner's breadth of capability is unique
among its competitors.  It offers the complete range of services that are
necessary to realise global projects from conception to start-up.  These
services include a portfolio of advanced process technologies, research and
development, test work, a full range of engineering studies (including
bankable feasibility and environmental studies), total project management,
engineering and design, procurement, construction and maintenance services.   
Kvaerner E&C employs more than 9,000 people operating from over 30 offices
worldwide.