OREANDA-NEWS. Statoil and its partners have awarded several subsea pipeline and marine installation contracts for the Aasta Hansteen field in the Norwegian Sea.

The contracts will provide ripple effects in northern Norway. The total contract value is estimated at NOK 2.3 billion.

The Aasta Hansteen field development represents a number of firsts on the Norwegian continental shelf (NCS) in terms of water depth and technological solutions.

"Aasta Hansteen will contribute significantly to Statoil's equity production when the field is on stream. This field will be the first deepwater development in the Norwegian Sea and will also open for tie-in of existing and new discoveries," says Ivar Aasheim, Statoil's head of field development on the NCS.
 
"With these contract awards we will also see the first steel catenary risers and the installation of mechanically lined pipe by reeling in the Norwegian Sea."

This work will be performed by Subsea 7, who has been awarded contracts worth an estimated NOK 2.2 billion for the subsea lines and marine operations - including floating production storage and offloading (FPSO) unit tow to field and mooring.

This includes the engineering, procurement, commissioning and installations (EPCI) of flowlines and steel catenary risers, and procurement of line pipe for the flowline part of the EPCI contract.

Subsea 7 is planning to establish a permanent presence in northern Norway due to this contract award. They also plan to utilise local suppliers from northern Norway. The complex pipeline production activity for the steel catenary risers and flowlines will take place at Subsea 7's spoolbase at Vigra, Norway.

Deep Ocean has been awarded contract for supply and installation of the 140-kilometre fiber-optic cable connecting the Aasta Hansteen field to the existing infrastructure near Norne. This is also an EPCI contract worth an estimated NOK 165 million. Deep Ocean will also consider using local suppliers in northern Norway for their services under this contract.

"We are pleased to have secured capacity with these experienced subsea contractors," says Jon Arnt Jacobsen, Statoil's chief procurement officer.

"As we have said earlier the development of Aasta Hansteen may generate substantial ripple effects in the north. We are pleased to see that contracts with Statoil lead to establishments in northern Norway and utilisation of local suppliers. Most ripple effects, however, will take place in the operations phase, when the field is on stream."

The contracts are call-offs on framework agreements for pipe-laying and subsea installations. The assignments will commence immediately, with installation seasons in 2014, 2015 and 2016. Completion is scheduled for the fourth quarter of 2016.