Aker Kvaerner Wins More Skarv Work

BP has chosen Aker Kvaerner to perform the detail engineering, procurement and construction management assistance (EPcma) for the Skarv field development in the Norwegian Sea. Since November 2005, Aker Kvaerner has been involved with the project, performing the front end engineering design of the complete production ship (FPSO) and intermediate engineering of the topsides. The total value of Aker Kvaerner's new scope of work is approximately NOK 2 billion.

"We have been working on this project for nearly two years and it is a big recognition to be rewarded the EPcma contract from BP. Aker Kvaerner has a long track record, providing the majority of the floating production, storage and offloading vessels (FPSOs) in the North Sea. This experience and competence enable us to execute this job for BP," says Pal Helsing, executive vice president for the Field Development business area in Aker Kvaerner.

The new EPcma contract covers detail engineering and procurement work for the 16.000 ton FPSO topsides as well as construction management assistance to BP. On peak, the project will engage over 400 people from Aker Kvaerner. The production start for the field is scheduled for August 2011.

The Skarv oil and gas field was discovered in 1998, and it has taken close to 10 years to mature the field to its current stage. The FPSO will be installed in the Norwegian Sea, approximately 200 kilometers west of the Norwegian city Sandnessjøen, between the Norne field (35 kilometers to the north) and Heidrun (45 kilometers to the south) in water depths between 350 and 450 meters. The development will also include the Idun gas field discovered in 1999.

The contract parties are Aker Kvaerner Engineering & Technology AS and BP Norge AS. The Plan for Development and Operation (PDO) was submitted to the Norwegian Authorities 29 June 2007. The award is subject to final approval of the PDO by the Norwegian parliament.