Aker Kvaerner Wins Santos ACE Project

Santos has awarded Aker Kvaerner's E&C Australia operations, a contract to provide overall project management, engineering, procurement and construction management for its Asset Control Enhancement (ACE) project.

Aker Kvaerner's contract is valued at approximately AUD 16 million. The ACE project involves a complete upgrade of the control facilities at the large Moomba Gas Processing and Natural Gas Liquids Facility in the remote far north of South Australia. The overall budget for the project is in the region of AUD68 million. "This is one of the most exciting and important projects to be undertaken for many years within the Moomba plant" said Santos' Managing Director, Mr. John Ellice-Flint. The project is to be executed via an alliance between Santos, Aker Kvaerner and Emerson, modelled on North Sea alliance contracting principles. All the modifications have to be implemented without interrupting gas supply to a number of large and important consumer markets, particularly on the south and east coast of Australia. "The alignment of the alliance partners will therefore be a key element for success," continued Mr. Ellice-Flint.

Aker Kvaerner was awarded the contract following a comprehensive tender process that assessed overall capability, as well as the behaviours and practices that are critical to the project's success. Managing Director of Aker Kvaerner's E&C operations in Australia, Mr. Les Guthrie, said, "The award of this important contract demonstrates our capability in delivering total project solutions. We have worked with Santos and Emerson to develop the scope, costs and methodologies necessary to execute ACE, made complex by the large number of smaller sub-projects within it, to be completed across the whole Moomba facility." Completion is planned for December 2004. Santos, as Australia's largest net natural gas producer, is the operator of the Moomba facilities. The Moomba plant, in the Cooper Basin, supplies gas for New South Wales and South Australia; ethane as petrochemical feedstock; plus LPG, butane and condensate for both export and local consumption.

Aker Kvaerner Australia is a leading provider of services to the process industries, providing clients throughout the petroleum, petrochemical, chemicals, non-ferrous metals, iron ore and steel industries with design and project management services and innovative solutions.