Statoil has awarded Baker Hughes Norway a £119million (NOK1.5billion) contract for its Johan Sverdrup development.
The Norwegian operator contracted the firm in to provide the integrated drilling services, including cementing and pumping, completion, drilling and completing fluids and handling of offshore cuttings.
The six year deal, which has a four-year extension option for the entire field life, will see drilling begin as early as next year.
Margareth Øvrum, executive vice president for technology, projects and drilling, said: “We are pleased to award this contract to Baker Hughes and believe that this will help achieve Johan Sverdrup’s objectives of safe operations and efficient well deliveries and also support Statoil’s industry efforts to reduce total well costs.”
The investment costs for phase one of the development are estimated to total NOK117billion.
Recoverable resources are projected at between 1.4 and 2.4 billion barrels of oil equivalent.
Øivind Reinertsen, senior vice president for the Johan Sverdrup field, added: “Drilling will commence in 2016. Together with Baker Hughes we will quickly establish an integrated operations team, working closely with the drilling and rig contractor Odfjell to plan and optimise well deliveries. This award will play an important part in driving performance and creating value for Johan Sverdrup.”