Statoil picks three for Johan Sverdrup pipelines

December 9, 2015

Statoil has, on behalf of the Johan Sverdrup partners, awarded contracts for the linepipe, coating and pipe installation of the Johan Sverdrup export pipelines.

The total contract value is estimated at slightly less than US$288 million (NOK 2.5 billion), the three contracts cover both the oil and the gas export pipelines for Johan Sverdrup.

The linepipe fabrication contract for the export pipelines was awarded to Mitsui & Co. Norway. Mitsui will deliver 220,000-tonnes of steel for the oil and gas pipelines, totaling 430km. Linepipe production will start at Nippon Steel & Sumitomo Metal (NSSMC) steelworks in Japan early in 2016.

Wasco Coatings Malaysia was awarded the contract for external anti-corrosion treatment and concrete weight coating for the oil and gas pipelines, as well as internal flow coating for the gas pipeline. The work will be performed at Wasco’s factory in Malaysia in 2017.

Saipem has been awarded the pipe-laying contract for the Johan Sverdrup oil and gas export pipelines. The pipe-laying operation is scheduled to start in the spring of 2018, using the laying vessel CastorOne.

“We have selected a solid team of principal suppliers for the Johan Sverdrup export pipelines, and are thus well positioned to deliver first oil from Johan Sverdrup from late 2019,” says Kjetel Digre, senior vice president for the Johan Sverdrup project.

Stabilized oil will be exported to the Mongstad terminal through a new oil pipeline connected to existing storage caverns. The oil export solution consists of a 274km, 36in pipeline to the Mongstad terminal, including required modifications at the terminal.

Gas will be exported to Kårstø gas terminal through a new gas pipeline. The gas export solution includes a 156km, 18in pipeline tied in to the Statpipe rich gas pipeline, including a hot-tap hook-up to this pipeline. No modifications are required at Kårstø for the reception of the Johan Sverdrup gas.

The oil and gas export development will meet the transportation needs for all phases of the Johan Sverdrup development.

Contracts worth more than $5.7 billion (NOK 50 billion) have been awarded so far in the Johan Sverdrup project, about 75% of which have been landed by suppliers with Norwegian invoice addresses.

Image:Johan Sverdrup export pipelines/Statoil



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