GE Energy & Rasgas Sign Long-Term Service Agreement

GE Energy has signed a long-term pipeline services agreement with the RasGas Company Limited in Qatar. The six-year contract will allow GE Energy to provide a world-leading producer of liquefied natural gas (LNG) with cost-effective integrity management services for its existing export pipelines.

GE Energy's expertise in inspecting and maintaining LNG pipelines will be initially utilized to monitor the 100-kilometer natural gas pipeline from the company's offshore production facilities to RasGas' Train 3 facilities, which commenced operations in March. During the contract period, GE Energy will also guarantee the performance of additional pipelines used in RasGas facilities.

Present at the May 3 signing ceremony was Mike Simmons, Global General Manager of GE Energy's pipeline solutions business, who said: "Under our integrity management program, we combine a range of services which help develop risk management plans that make operational improvements possible while reducing maintenance costs. We invest in technology to implement procedures that guarantee the reliability, efficiency and performance of essential pipelines for our customers."

"RasGas will benefit from our flexible planned services and solutions that ensure the long-term integrity of pipeline networks and comply with increasingly rigorous safety and environmental regulations," Simmons said. "Besides assessing and monitoring the condition of the systems regularly, this customized approach will also eliminate unanticipated maintenance costs, allowing RasGas to protect its assets in a cost-effective and predictable manner."

The service agreement will enable RasGas to take advantage of GE Energy's innovative technology and broad experience in pipeline integrity management and procedures. The program will also include recommendations for updates on processes and procedures, revisions to operating guidelines, training and technology transfer that will help the LNG producer utilize the tailor-made plan, along with GE Energy's full support during the implementation process.

"We look forward to working with GE and benefiting from its expertise in order to closely monitor the stability of our new and existing export pipelines and to carry out timely and cost-effective integrity management services," said RasGas Managing Director Jerry Wolahan. "A relationship with an experienced pipeline service provider will also provide an opportunity for optimization of maintenance costs through risk-based inspection techniques. These improve the reliability of pipeline operations while enhancing the availability of pipelines for gas transportation needs."

GE Energy's pipeline integrity management operation, headquartered in Northumberland, England, is part of GE Energy's Oil and Gas Business, based in Florence, Italy.

GE Energy is a global leader in pipeline integrity management services for the oil and gas industry. The company supplies total pipeline integrity solutions, including in-line inspection tools, consulting, and special analysis services, to provide customers with higher productivity, greater safety and longer life for their pipeline operations.

RasGas Company was established in 2001 by Qatar Petroleum (70%) and ExxonMobil (30%) to assume responsibility for providing a full range of operations and maintenance management services to Ras Laffan Liquefied Natural Gas Limited, Ras Laffan Liquefied Natural Gas Company Limited (II) and future expansion opportunities. The Company commenced operations in July 2002.