Aker Solutions announced today it has been awarded a contract by Statoil to build the pipeline facilities, modifications and tie-ins needed at the Mongstad terminal.
The contract for engineering, procurement, construction and installation services (EPCI) has been valued at approximately 350 million NOK (£34.9 million) and will enable the Mongstad terminal to receive oil from the North Sea Johan Sverdrup field.
“We are pleased to work with Statoil in laying yet another one of the key building blocks for the major Johan Sverdrup development,” Aker Solutions’ head of maintenance, modifications and operations, Knut Sandvik, said.
Aker Solutions Scores Pipeline Deal at Mongstad
Under the agreement, the pipeline receiving facilities will be construction in an available area at the Mongstad complex, located on the west coast of Norway and the facilities will be tied in to all required utilities and control and safety systems.
As well as this, the facilities will be connected to the six existing oil caverns through the use of a new manifold system, allowing crude from Johan Sverdrup to be distributed to any of the caverns on the site.
Statoil’s Mongstad Crude Oil Terminal
The contract also includes groundwork and foundation work, with engineering carried out by Aker Solutions in Bergen, while prefabrication will be done at Aker Solutions’ yard located in Egersund.
“Starting in early 2017 the work at Mongstad will provide opportunities for local suppliers in the Mongstad area,” Statoil’s Johan Sverdrup project director, Kjetel Digre, said.
Mongstad Project Brings 100 Jobs
“It is also gratifying that we can include Egersund as a location and contributor delivering on the enormous jig-saw puzzle that the Johan Sverdrup project represents. In Norway all of the big yards along the entire coast are now involved in developing one of the biggest industrial projects in Norway in recent years,” he added.
According to the executive, more than £5.98 billion in contracts have been awarded for Johan Sverdrup, with over 70% won by Norwegian suppliers.
This time, local companies will also be involved during the project installation phase, while groundwork will be handled by Aker Solutions’ partners.
On average, the project is expected to employ 50 people, with an expected peak of 100 in mid-2017, Aker Solutions said.