The EPC contract covers engineering, procurement and construction of a system for MEG (Monoethylen-Glycol) regeneration including a tank farm. MEG is used as anti-freeze in the wellstream to prevent ice formation and plugs (hydrates) in the subsea production facility and in the pipelines bringing the gas to shore.
Engineering and procurement will start immediately at Vetco Aibels offices near Oslo. Construction activities in the MEG area at Nyhamna starts in March 2005 and pre-fabrication at Vetco Aibels yard in Haugesund starts in August the same year.
Vetco Aibel was in early September awarded another big Ormen Lange contract covering engineering, procurement and construction of a system for condensate export from the Nyhamna plant. The two contracts will be coordinated to achieve synergies.
Hydro is operator for Ormen Lange during the development phase, including all field development, the gas processing plant at Nyhamna, as well as the export pipeline project - Langeled.
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 depths of 800 to 1,100 meters. The field comes on stream in October 2007.
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