Saga lets four work contracts for Snorre B

Saga Petroleum ASA has advanced its plans for Snorre B development by letting four major contracts. The move follows a recent delay by the Norwegian government of 12 Norwegian offshore developments, including Snorre B (OGJ, Mar. 16, 1998, p. 34). Snorre B production is now slated to begin in August 2001, nearly a year later than originally planned.

May 4, 1998

2 min read

Snorre B production is now slated to begin in August 2001, nearly a year later than originally planned.

Saga is operator of the Snorre B license and holds an 11.94% interest. Other interests are: Statoil 41.4%, Esso Norge AS 10.33%, Deminex Norge AS 10.03%, Idemitsu Petroleum Norge AS 9.6%, Norsk Hydro Produksjon AS 8.27%, Elf Petroleum Norge AS 5.51%, and Amerada Hess Norge AS and Enterprise Oil Norwegian AS 1.46% each.

Total value of the four contracts is 7.5 billion kroner ($1 billion). The awards include:

A 5.5 billion kroner contract for engineering, procurement, and construction (EPC) of a semisubmersible production platform, awarded to a joint venture of Kvaerner Oil & Gas AS and Aker Maritime ASA.
A 1.2 billion kroner contract for EPC and installation of a subsea production system, awarded to ABB Offshore Technology AS.
A 475 million kroner contract for EPC and installation of flexible infield flow lines and 19 risers, awarded to Coflexip Stena Offshore Norge AS.
A 250 million kroner contract for EPC and laying of export oil and gas pipelines, awarded to European Marine Contractors Ltd.

The Snorre B semisubmersible platform, to be placed 9 km north of the Snorre tension-leg platform, will consist of two production well templates tied to the platform through 4 production risers, 2 multipurpose risers, and 10 water-gas injection risers.

The development plan is still awaiting government approval. Total project costs are pegged at 11.8 billion kroner.

Project planning to optimize the development schedule will take place this year, says Saga.