Skanska Wins NOK 1 Billion Ormen Lange Contract

Ormen Lange
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Hydro has, on behalf of the Ormen Lange license group, awarded Skanska the NOK 1 billion Main Civil Contract for the site preparation for the gas processing plant at Nyhamna in Mid-Norway.

The scope of work includes preparation of the site, seawater tunnels, landfall for pipelines, condensate caverns, construction quay, roads and infrastructure, storage areas, sewer treatment plant and necessary temporary utilities and installations for the construction period, as well as the construction of temporary living quarters, canteen and offices.

The contract also includes an option for concrete deliveries.

Hydro is operator for Ormen Lange during the development phase, including all field development, the onshore gas processing plant at Nyhamna in Mid-Norway, as well as the export pipeline project.

The contract award is conditional on the governmental approval of the Plan for Development and Operation (PDO) and the Plan for Installation and Operation (PIO). Production start of the Ormen Lange field is planned for October 2007.

Ormen Lange is the largest gas field under development on the Norwegian continental shelf. It is located 100 km off the northwest coast of Norway at a water depth of 850 to 1,100 meters.

Partners in Ormen Lange are Norsk Hydro as operator for development phase with 18.0728%; Shell as operator for the operational phase with 17.0375%; Petoro with 36.4750%; Statoil with 10.8441%; BP with 10.3420% and ExxonMobil with 7.2286%.
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