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Aker Kvaerner Awarded Contract for BP's Development of the Skarv and Idun Fields

Source: 10/31/2005, Location: Europe

Aker Kvaerner has been awarded a contract for front-end engineering design (FEED) for BP's Skarv/Idun fields development project in the North Sea. Aker Kvaerner Engineering & Technology in Oslo will perform the NOK 100 million front-end design job for the new floating production facility as well as the overall system design for the field. BP has an option to continue with Aker Kvaerner for engineering, procurement and construction management for the full field development.

The engineering work will start immediately and continue through 2006. More than 100 engineers will be working on the study at peak manning. "Skarv and Idun are of the few new field developments on the Norwegian Continental Shelf and we are very happy with the contract award. This is a recognition of our competence and experience with this kind of project", says executive vice president Simen Lieungh in Aker Kvaerner.

Aker Kvaerner Engineering & Technology will perform the FEED for field production and export system, plus preparation for procurement and project management of the total field development. One initial key activity will be to assist BP in design, tender and place a contract for a harsh environment hull. The hull design will be based on Aker Kvaerner's long track record, supplying the majority of the Floating Production Storage and Offloading vessels (FPSOs) in the North Sea. Aker Kvaerner will also perform flow assurance analysis for the total system from wellhead to point of delivery.

Skarv and Idun are combined oil and gas developments with 75 percent of the reserves as gas and 25 percent liquids. The resource base consists of hydrocarbons from several different reservoirs and structures, including Skarv and Snadd. The field will be developed with a standalone FPSO. Gas export will be through ?sgard Transport System (?TS) to the onshore K?rst? facility.

Skarv is operated by BP with a 30 percent ownership in the field. The other owners are Statoil (30 percent), Shell (25 percent) and ExxonMobil (15 percent). The Idun field is operated by Statoil which has a 50 percent ownership. The other owners are Shell (40 percent) and Hydro (10 percent).

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