Subsea 7 Wins Installation Work at Skarv and Idun Fields

Subsea 7 has been awarded a contract by BP Norge AS for installation works in the Skarv & Idun fields in the Northern North Sea. The contract is valued in excess of US $125 million.

Subsea 7 is to engineer, fabricate and install 42 km of single flowlines. These consist of 35 km 12" & 10" diameter clad production flowlines and 7 km 10" diameter carbon steel gas injection flowlines. A Direct Electrical Heating (DEH) cable will be attached to the 13 km Idun flowline which is a part of the 35 km production flowlines.

Engineering will commence immediately and will be performed at Subsea 7's offices in Stavanger, Norway. Fabrication of the flowlines will be carried out at Subsea 7's new pipeline fabrication facility at Vigra, on the west coast of Norway. The new facility, currently being constructed, will commence pipeline fabrication work for the project in early 2010. Offshore operations are due to take place in 2Q 2010 and will utilize Subsea 7's pipelay vessel Skandi Navica.

Tor Espedal, Subsea 7's Norway Vice President stated, "It is an endorsement to Subsea 7's technology and engineering and project execution expertise that BP has chosen Subsea 7 to perform this work. It further strengthens our relationship with BP built on existing contracts such as Valhall, and our track record of excellent performance and project execution globally. I am delighted to say that the contract will also provide a number of additional job opportunities at our Stavanger office and at the Vigra fabrication facility."

The Skarv and Idun development is located in the Norwegian Continental Shelf, approximately 200 km west of Sandnessjoen, between the Norne field (35 km to the north) and Heidrun (45 km to the south) in water depths between 350 and 450 meters.


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