KBR Wins Engineering Contract for Agbami FPSO

KBR has been awarded a contract by Daewoo Shipbuilding and Marine Engineering Company, Ltd. (DSME) to provide engineering design and procurement services for the topsides for ChevronTexaco's Agbami floating production, storage and offloading (FPSO) vessel. Star Deep Water Petroleum, ChevronTexaco's Nigerian subsidiary, awarded DSME the engineering, procurement, construction and integration (EPCI) contract to construct the vessel's moorings, hull and topsides and the commissioning of the vessel. The Agbami FPSO will be located offshore Nigeria, approximately 220 miles southeast of Lagos. Star Deep Water Petroleum is targeting the project to be complete with first oil production by 1Q2008. Other partners in the project include Texaco Nigeria Outer Shelf Inc. (a ChevronTexaco affiliate), Petroleo Brasileiro Nigeria Limited, Statoil Nigeria Limited, Famfa Oil Limited and the Nigerian National Petroleum Corporation (NNPC).

KBR, as a subcontractor to DSME, will execute the topsides engineering, procurement services and interface design for the Agbami project in its offices in Houston, Texas, as well as mobilize Lagos-based NETCO, a Nigerian engineering company. This will create a cost-effective, work-sharing environment while satisfying requirements for local content. KBR and DSME are scheduled to expend approximately one-half million man-hours in order to complete the engineering portion of the project. This project represents another example of KBR's implementation of its strategy of providing segmented services for FPSO projects.

"The Agbami field ranks among the largest single finds to date in deepwater West Africa, and one of the world's ten largest discoveries of the past decade," said Lou Pucher, senior vice president of KBR's Energy and Chemicals division. "KBR was selected for this project because we have an extensive track record of successes in the design and engineering of purpose-built FPSOs, and we are pleased to have the opportunity to help execute this landmark project."

DSME will construct the vessel at its fabrication yard in Okpo, South Korea. In choosing KBR as its engineering subcontractor, DSME's O.S. Shin, Executive Vice President and Chief Division Officer of Offshore and Special Ship Division stated, "We have worked with KBR on numerous Angola and Nigeria offshore projects in the past ten years. Their performance in delivering quality engineering products on schedule is exactly what we need for this very important project."

The Agbami FPSO will be moored in about 4,700 feet water depth, and at least 40 subsea wells will most likely be necessary to fully exploit the field. The FPSO will be designed to handle 250,000 barrels of oil per day, 450 million cubic feet of gas production per day and 450,000 barrels of injected water per day. Approximately 415 million cubic feet of gas per day will be re-injected. Designed to store approximately 2.2 million barrels of oil, the Agbami vessel is set to be on location for more than 20 years.

The Agbami FPSO will have thirteen topside modules, which contain the main process and utility systems. Weighing approximately 30,000 tons, the vessel topsides will generate 75 megawatts of power and have living quarters for 100 personnel.


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