FMC Technologies to Provide Subsea Equipment for Norne Field

FMC Technologies has signed a contract with Statoil to supply a subsea system (Template K) for Statoil's existing Norne Field project in the Norwegian Sea. The contract has a value of approximately $28 million in revenue to FMC Technologies.

The agreement is in conjunction with a new-build Norne Improved Oil Recovery (IOR) - Template K, which includes two subsea trees, a manifold, a template and two subsea control modules. The agreement also includes retrofitting an electric subsea control module, which operates eight electric gate valves and one electric pig valve for the control of manifold functions for an existing template, also in the Norne field.

This is a further development of FMC Technologies' all-electric subsea production system technology, which began with installation of an all-electric choke system on Statoil's Statfjord Field in 2001-2002. This system, which has operated reliably since its installation, incorporates 16 all-electric production chokes.

Norne Template K is the most recent Statoil development undergoing the IOR program. In January 2005, Statoil received the Norwegian Petroleum Directorate's IOR prize for its Gullfaks Field. The Norne Field began production in 1997. Norne is located approximately 125 miles (200 kilometers) off the Norwegian coast in approximately 1,250 feet (380 meters) of water depth.

"We are pleased to be chosen by Statoil to supply this electric subsea production system and to help implement Statoil's Improved Oil Recovery program," said Peter D. Kinnear, Executive Vice President - FMC Technologies. "The Norne system will be the first conversion of a production manifold to all-electric operation. This is an important advancement of our all-electric subsea production system technology, and it reflects our proven ability to supply innovative, market-leading technology for subsea solutions as well as the strength of our relationship with Statoil."
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