Wood Group to Provide O&M Support for Chestnut Field FPSO

Wood Group Engineering & Production Facilities has been contracted by Sevan Marine to provide operations & maintenance (O&M) support, for their new SSP300 FPSO in the Chestnut field, central North Sea, the first Sevan Stabilized Platform (SSP) to be introduced into the North Sea. Venture Production and the majority owners of the Chestnut field, chose Sevan Marine to develop the oilfield using the SSP300 stabilized platform, because of its innovative cylindrical mono-hull design and 30,000 BOPD process plant capacity making it ideal for operating in smaller oilfields. The O&M contract is between Wood Group and Sevan Marine and Venture Production, as licensee, have appointed Wood Group as Duty Holder.

Wood Group's extendable contract with Sevan Marine is initially for 2.5 years, with four six-month options, valued at approximately £8 million per year. As Duty Holder, Wood Group will have complete responsibility for operations management, including onshore technical, logistical and supply chain support. First oil is expected in 2007.

"This will build on our experience of support to Sevan Marine's first SSP300 FPSO in the Piranema Field, offshore Brazil: we look forward to playing a vital role in the safe development, start-up and operation of this unique facility," said Les Thomas, Group Director for Wood Group Production Facilities. "We are delighted to be awarded our first full Duty Holder role in the North Sea."

Mike Wagstaff, Chief Executive of Venture Production said "We are very pleased to have appointed Wood Group to operate what is an innovative installation and a challenging project. We are sure that Wood Group will rise to that challenge and provide a safe and effective operation for what will be one of the smallest stand-alone oil field developments yet in the North Sea."