Kværner lands more work for Grane platform in North Sea
Kværner AS said Friday it was about to sign a contract with Norwegian operator Norsk Hydro AS worth some $56 million to build the generator module and living quarters for the Grane platform. This latest work for the Norwegian North Sea development brings the value of Kværner's work on Grane to $472 million.
By the OGJ Online Staff
LONDON, Mar. 2�Kværner AS said Friday it was about to sign a $56 million contract with Norwegian operator Norsk Hydro AS to build the generator module and living quarters for the Grane platform.
This latest work for the Norwegian North Sea development, the largest proven but undeveloped oil field in the region, brings the value of Kværner's work on Grane to $472 million.
Kværner emphasized that the decision to award the contract to fabricate the generator module at its Rosenberg yard in Stavanger was a vote of confidence in the yard's competitiveness.
Last May the contractor secured a deal worth $389 million to carry out engineering, procurement, and construction of the installation's 11,000 tonnes production module.
The Grane field is on Block 25/11, northwest of Stavanger, in water depths of 127 m. The field will be developed via an integrated platform with drilling facilities, living quarters, and production facilities.
First production from the field, which has estimated recoverable reserves of 700 million bbl of heavy oil, is due to start in the autumn of 2003. Hydro said in October that the field is expected to reach a maximum output of 214,000 b/d in 2005.
Hydro holds a 24.4% interest in Grane; the Norwegian state's direct financial interest, 43.6%; ExxonMobil Corp., 25.6%; and Conoco Inc., 6.4%.