Statoil has signed a joint venture contract with Kvaerener and KBR worth NOK 6.7billion on behalf of the Johan Sverdrup partnership.
The contract includes engineering, procurement and construction (EPC) of the topside for the Johan Sverdrup utility and living quarter platform.
The utility and living quarter platfrom consists of two modules, one utility module and one accommodation module.
Fabrication of the utility module will be done by subcontractors in Poland under management of Kvaerner and completed at Stord Norway.
KBR will carry out engineering and procurement of equipment for the utility module.
The accommodation module will be constructed at Apply Leirvik’s yard in Stord Norway and in Emtunga Sweden while the topside modules will be assembled at Kvaerner Stord.
Margareth Øvrum, executive vice president for Technology, Projects and Drilling in Statoil, said: “The market has shown a strong interest in this contract, and Kvaerner and KBR have won the contract in tough international competition.
“So far the Norwegian supplier industry has won the main Johan Sverdrup contracts. It is good to see that Statoil and the suppliers jointly are about to break the cost curve to ensure competitive force in a tough time for the whole industry.”
The topside will have a total weight of around 19,000 tonnes, the utility module accounting for 9,700 tonnes and the accommodation module 9,300 tonnes.
The contract also includes an option for commissioning assistance and offshore hook-up for the platform.
The utility and living quarter platform will be completed in the first quarter in 2019 for installation at the Johan Sverdrup field by use of the world’s largest heavy-lift vessel Pioneering Spirit.
The platform will accommodate personnel working at the Johan Sverdrup field.
It will constitute the largest living quarters on the Norwegian continental shelf (NCS) with a bed capacity for 560 people.
In addition to accommodation, all field production control and monitoring activities will be carried out in the control room on the utility and living quarter platform.
The platform will also contain central support systems for the field centre, such as emergency power, firewater systems, diesel, heat recovery and freshwater production.
The ambition is a recovery rate of 70% for Johan Sverdrup. The Johan Sverdrup licensees are Statoil, Lundin Norway, Petoro, Det norske oljeselskap and Maersk Oil.
The partners have recommended Statoil as operator for all field phases.
This contract award is subject to approval of the plan for development and operation of the Johan Sverdrup field by the Norwegian parliament (Storting) in 2015.