Statoil success with frame agreements
Posted: 3 December 2003
The principal gas pipeline contracts for the Ormen Lange transport
and field project in the Norwegian Sea were awarded recently under
Statoil's frame agreements.
Worth about NOK 10 billion in all, these orders relate to weight
coating and corrosion protection as well as steel and pipelaying
for the Ormen Lange gas export system.
Statoil operated all the major gas pipeline projects from the Norwegian
continental shelf to Belgium, Germany and France in the 1980s and
1990s.
The group thereby acquired experience with the technology for and
execution of submarine pipeline projects, and is noted for its expertise
in this field.
"Our earlier projects have allowed us to refine our contract
strategies, with the optimum use of competing frame agreements,"
says Odd Nøland, head of procurement for the project execution
unit in Exploration & Production Norway.
Steel deliveries, weight coating and pipelaying account for almost
70 per cent of the investment in a typical pipeline project, he
explains.
Such developments are characterised by a limited number of large
contracts with international suppliers.
Norsk Hydro is development operator for Ormen Lange, including
the transport system, and collaborates with Statoil on planning
and executing the pipelaying work.
The Ormen Lange gas export system is due to run from the landfall
terminal at Nyhamna in mid-Norway to Easington on the UK east coast.
Passing via Statoil's Sleipner Riser platform in the North Sea,
this pipeline will be 1,200 kilometres long.
For more information see www.statoil.com.
Posted by Richard Price,
Editor Pipeline Magazine
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