Nexen Hits Milestone at Buzzard

Nexen Inc.

Nexen Inc. said that it has achieved a significant milestone for the Buzzard project in the U.K. sector of the North Sea. The production deck and the living quarters and utilities deck, together with the two connecting bridges and the flare boom, have been successfully installed onto the structural legs.

The production deck weighing approximately 12,000 tonnes, was constructed by Dragados Offshore in Puerto Real, Spain. The quarters and utilities deck weighs approximately 11,000 tonnes and was constructed by Heerema in Hartlepool, U.K. The bridges and flare were constructed by Aker Kvaerner in Verdal, Norway. The installation was carried out by the Saipem S7000 heavy lift vessel. The Buzzard facility is designed to process up to 200,000 barrels of oil per day and 60 million cubic feet of gas per day.

"This is a major milestone for this world-class project," said Charlie Fischer, Nexen's president and CEO. "With successful completion of this installation, final hook-up and commissioning of the facility underway, we remain on-schedule for first production late this year."

Nexen has a 43.2% operated working interest in Buzzard. Other co-venturers include Petro-Canada (29.9%), BG Group (21.7%), and Edinburgh Oil and Gas (5.2%).

Nexen Inc. is an independent, Canadian-based global energy company, listed on the Toronto and New York stock exchanges under the symbol NXY. The company is positioned for growth in the North Sea, deepwater Gulf of Mexico, the Athabasca oil sands of Alberta, the Middle East, and offshore West Africa.