Angola Contract Award for Subsea 7

Subsea 7 has been awarded a contract valued at approximately US $200 million by Esso Angola Ltd. for work associated with the Kizomba C Saxi-Batuque project in Block 15 offshore Angola.

The Saxi-Batuque project will be developed using a conversion FPSO host with tie back of two drill centers for Batuque and two drill centres for Saxi. Subsea 7 will perform the design, pipe fabrication and installation of 16 steel flowlines and their accompanying flowline terminations. In total, there will be 50km of flowlines ranging between 6" and 10" in diameter.

Installation of the flowlines is due to commence in the forth quarter of 2007 in water depths ranging from 650 to 810 meters. Engineering and project support will be undertaken from Subsea 7's recently established office in London, and all in country activities will be assigned to Sevenseas Angola, Subsea 7's entity in Angola. The project requires Subsea 7 to further develop the fabrication activities at its Luanda base at Sonils.

Jan Willem van der Graaf, Subsea 7's vice president West Africa comments, "Following on from our safe and successful completion of the Lobito Tomboco rigid pipelay project, we are very pleased to be continuing installation operations in Angola on Kizomba C. We are looking forward to embarking on our plans to employ in excess of 200 Angolan nationals during the course of this project involving substantial investment in training and development schemes. The success of this venture will be based on deepening our cooperation with our Angolan partners and subcontractors".


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