Statpipe awards Kårstø upgrade assistance contract to M.W. Kellogg

The Statpipe joint venture has awarded M.W. Kellogg Ltd. a 70 million kroner ($7.75 million) contract to provide engineering, procurement, and construction assistance for a proposed capacity upgrade at the Kårstø gas processing plant near Stavanger.

Aug. 2, 2001

By the OGJ Online Staff

HOUSTON, Aug. 2 -- The Statpipe joint venture has awarded M.W. Kellogg Ltd. a 70 million kroner ($7.75 million) contract to provide engineering, procurement, and construction assistance for a proposed capacity upgrade at the Kårstø gas processing plant near Stavanger, said M.W. Kellogg.

Final sanction of the upgrade is expected this month.

Previously, MWKL was the main EPC contractor for a Kårstø plant upgrade completed in October.

The upgrade will be needed to handle the reception of rich gas from Mikkel field in the Norwegian Sea, beginning in 2003. The field has received gas production approval, though the plan of development and operation is still being prepared.

The Statpipe system links fields in the northern North Sea to the continental European gas market.

Statoil AS has 25% interest in Statpipe. Other partners are Petoro (formerly the state's direct financial interest) with 33.25%, TotalFinaElf SA 12%, ExxonMobil Corp. 12%, Norsk Hydro AS 10%, Royal Dutch/Shell Group 5%, and Conoco Inc. 2.75%.

M.W. Kellogg is an affiliate of Halliburton Co.