Aker Kvaerner Secures North Sea Kerr-McGee Contract

Aker Kvaerner Offshore Partner has just concluded a deal with Kerr-McGee to provide engineering, construction and support services to Kerr-McGee's assets in the North Sea. The contract is initially for two years, with three further 12-month options.

Kerr-McGee operates two FPSOs (floating production, storage and offloading facilities) in the Leadon and Gryphon oil and gas fields, as well as the Janice 'A' FPU (floating production unit). AKOP will supply a dedicated team of engineering, construction and support services personnel for all three facilities, with additional personnel being provided as required.

In January, AKOP also agreed a five-year contract to provide engineering, construction and support services to BG Group's Armada platform, 250km north east of Aberdeen. The company has since signed two further high-value deals.

With the addition of the new agreement with Kerr-McGee, the combined value of the four major contracts secured by Aker Kvaerner Offshore Partner in the first three months of 2004 is GBP 50 million. Managing Director, Harald Gulaker says it represents the company's best first-quarter period for several years: "Our recent restructuring is paying dividends in terms of competitiveness.

"Both the Kerr-McGee and BG Group deals comprise work that was previously split into several contracts held by our competitors. We have put a great deal of effort into ensuring that we are best placed to cater to the changing requirement of operators, and that work is now bearing fruit."