Norsk Hydro Awards Fram East Contract to Aker Kvaerner

Hydro has awarded Aker Kvaerner the contract for reconstruction of the Troll C platform in order to produce oil from the satellite field Fram East. The contract value is approximately NOK 265 million.

The project will be executed by Aker Kvaerner Offshore Partner, and this is the third modification contract during the last three months which Hydro awards to the company. The two first contracts were for the Oseberg Field Centre and Oseberg East. Total value of the three modification contracts amounts to around NOK 500 million.

Aker Kvaerner Offshore Partner in Bergen will complete the work within October 2006. Pre-fabrication of steel and pipework will be carried out at the company's workshops. The offshore installation work starts September 1, 2005 under the management of Hydro.

Design and procurement will begin immediately and pre-fabrication will start in June 2005.

Aker Kvaerner Elektro is responsible for the electrical, instrument and telecommunication work in connection with the modifications on Troll C.

Kvaerner Oilfield Products (KOP) will deliver the subsea installations for Fram East. These installations will be installed at 360 meters water depth. Overall, Hydro will have five oil producing wells on the seabed and two wells for water injection on Fram East. The oil will be piped for approximately 19 kilometers to Troll C where it is to be processed. According to plan, the production of the Fram East oil will start in October 2006.