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Subsea 7 Awarded Huge Contract Offshore Norway

22nd December 2017

Photograph of Subsea 7 Awarded Huge Contract Offshore Norway

Subsea 7 S.A. (Oslo Børs: SUBC, ADR: SUBCY) has announced the award of a substantial contract by Statoil for the Snorre Expansion Project, located in the Tampen area, 150 km west of Florø in Norway.

The EPCI (engineering, procurement, construction and installation) contract includes Subsea 7's cost-effective Pipeline Bundle technology, which contains all flowlines and control umbilicals necessary for operation. The project features three Pipeline Bundles: West, East and North.

Production of the Pipeline Bundle system will take place at Subsea 7's fabrication facilities at Wick, Scotland. Project management and engineering will commence immediately at Subsea 7's offices in Stavanger, Norway and Aberdeen, Scotland. Offshore operations will take place in 2019 and 2020.

Phil Simons, Subsea 7's Vice President North Sea and Canada, said, Phil Simons, Subsea 7's Vice President North Sea and Canada, said, "Subsea 7 looks forward to working closely with Statoil to safely and successfully deliver our workscope on the Snorre project. This award demonstrates the versatility and economic benefit Subsea 7 can offer through its unique Pipeline Bundle technology, where all service lines are integrated in a single product and installed using our Controlled Depth Tow Method. It also recognises our proven track record, with more than 80 Bundles installed in the North Sea."

Full financial details of the contract have not been released but it is understood to be between Subsea 7 defines a substantial contract as being between USD 150 million and USD 300 million. This will provide work the Wester fabrication Yard near Wick for quite some time.

 

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