KCA Deutag Wins Shah Deniz Contract from BP
KCA DEUTAG has been awarded a further contract by BP on behalf of its partners in the Shah Deniz development project for platform drilling services for the Shah Deniz gas field development in the Azerbaijan sector of the Caspian Sea.
The agreement, worth approximately US $75 million was signed in Baku today and requires KCA DEUTAG to carry out platform drilling services for a period of 5 years. This follows on from engineering and construction supervision contracts which are currently being performed by KCA DEUTAG.
The Shah Deniz platform will utilize an innovative jack-up concept based on the Technip TPG 500 design. It simplifies offshore installation and has the ability to transfer to other locations. Similar designs have been used in the North Sea for BP's Harding field and on the Elgin/Franklin field for Total.
KCA DEUTAG is committed to maximizing the Azerbaijan content with this project and will be focusing very much on the training of Azerbaijan nationals with significant support from the Aberdeen head office.
Alasdair Locke, Executive Chairman of Abbot, commented: "This is our third announcement of this nature in recent weeks and is further evidence of our continued success in Azerbaijan, complementing existing operations we have in that area. Recently, we announced that KCA DEUTAG had been awarded two significant contracts offshore Azerbaijan with a total value of $225 million together with the award of a similar contract offshore Angola valued at $120 million. The announcement of today's contract win together with these new projects provides the Group with formidable forward visibility of earnings.
Additionally, this contract further confirms our strategy of internationalization of our offshore business in niche areas, a strategy we will continue to promote in a number of key regions."
Operates 33 Offshore Rigs
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