Dresser-Rand to Supply Compression Equipment to Statoil

Dresser-Rand has entered into two, five-year frame agreements with Statoil to supply new compression and power generation equipment, and to supply aftermarket parts and service for existing turbo machinery.

Total value of frame agreements announced this month by Statoil was US $1,363 million (NOK 7.8 billion). The value of the agreements between Statoil and Dresser-Rand is estimated to be US $1 billion (NOK 6.1 billion), including options to extend the agreements for an additional five years.

The agreements cover the purchase and installation of new equipment for several Statoil project locations, consisting of compressors, and turbo generator sets that will be used in both onshore and offshore applications.

All equipment and services will be supplied from Dresser-Rand global operations. The Dresser-Rand facility in Kongsberg, Norway will assemble and test the turbo generator sets. The company's facility in Le Havre, France and Olean, New York in the U.S. will provide the centrifugal compressors. Service and maintenance will be supplied from the Dresser-Rand service center in Kongsberg.

"We're appreciative of the confidence that Statoil has placed in Dresser- Rand," said Vincent R. Volpe, Jr., president and CEO of Dresser-Rand. "As long-time alliance partners, we have developed a business model focused on lowest life cycle cost and minimal emissions."

Commenting on the new frame agreements, Rune Norseng, Statoil vice president for procurements in operations support, Exploration & Production Norway, noted that the selected companies would be "important partners in our work to increase energy efficiency and to reduce emissions from our facilities.