Statoil Awards More Norne Satellite Contracts

Contracts worth a total of just over NOK 130 million have been placed by Statoil with four suppliers for its Norne satellites development in the Norwegian Sea.

These deals have been signed on behalf of the partners in production license 128, which covers the Svale and Staer discoveries.

Aker Marine Contractors in Norway will install three templates, each weighing around 270 tons, on the two fields in the autumn of 2004. This job is worth approximately NOK 45 million.

A contract valued at just over NOK 70 million has also been placed with Sumitomo/Japan Steel Works for 10 kilometers of carbon steel flowline with an internal diameter of 320 millimeters.

Under a contract worth NOK 5 million, Argentina's Tenaris is to supply a carbon steel flowline about 12 kilometers long. This will be used for gas lift in the five production wells on Svale and Staer, to allow the produced oil to flow more easily to the Norne production ship. The line will be tied back to the existing template on Norne.

Statoil has also awarded a contract valued at just under NOK 10 million to Det Norske Veritas for detail pipeline design.

The group recently submitted a plan for development and operation of the Norne satellites to the Norwegian authorities, and approval is expected by July.

All four contracts are subject to a final go-ahead from the Ministry of Petroleum and Energy.

The two fields will be tied back to the Norne production ship, and are expected to come on stream in the autumn of 2005.

In addition to Statoil with 40.5 percent, the licensees in Staer and Svale are Petoro with 24.5 percent, Hydro with 13.5 percent, Eni with 11.5 percent and Shell/Enterprise with 10 percent.