Uchenna Izundu
International Editor
LONDON, Aug. 27 -- Statoil has signed letters of intent with Aker Kvaerner Subsea AS and FMC Technologies as selected companies to provide subsea equipment and services for existing and future projects. The deals will be worth between $255.8 million to $426.4 million in total. Vetco Gray Scandinavia also will provide additional equipment under a separate agreement.
The contracts, which will be signed and effective from the second half of September, will focus on equipment deliveries for existing facilities and the supply of new subsea field installations along with their operations maintenance.
The contracts are for 5 years with options for two 2-year extensions for the equipment agreements, Statoil said.
"They first and foremost cover needs on the Norwegian continental shelf (NCS)," the operator said, adding that they could also be used for international development projects.
The contracts are part of Statoil's recently launched Procurement Best Practices corporate initiative to grant major contracts to preapproved companies for company-wide equipment and services. These contracts are expected to reduce costs, provide shorter lead times, and assure deliveries once projects are sanctioned.
Service agreements have been renegotiated for all Statoil-operated fields on the NCS. New agreements will be signed with the three suppliers, with improvements made to the present system of agreements. Statoil's intention is to have one contract per supplier applicable to all fields, including supplied equipment maintenance and services.
Contact Uchenna Izundu at [email protected].