Statoil has awarded an engineering, procurement, construction (EPC) contract, worth Nkr5bn ($0.59bn), to Kværnerfor the upgrade of the Njord A platform, which is located in the Norwegian Sea.
The EPC contract is call-off under a framework agreement executed on 1 April 2016.
Previous call-offs under the contract were related to the pre-engineering and preparatory work, including platform assistance at the quay, towing into the dry dock and inspection.
Statoil project development head TorgerRød said: “The Njord partners have reached an important milestone in the process of upgrading the Njord A platform for further production.
“I am very pleased that we today can sign this contract with Kværner here at Stord. The contract will create around 3,000 man-years of employment.”
Rød added: “The Njord A platform was towed to Kværner’s yard at Stord in August 2016, and was moved into the dry dock in December last year.
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“The work to be performed now is essential to successfully resuming safe and efficient operations from the field and being a hub for future tie-in of new fields.”
The platform is scheduled to stay in the dry dock until this autumn for hull reinforcement, after which it will lie alongside the quay for additional reinforcement and upgrading work until its delivery in 2020.
The contract award is subject to Plan for Development and Operation (PDO) for Njord approval from the respective authorities.
Recently, the Njord partners have taken the investment decision and intend to submit PDO soon.
Njord A platform is expected to resume production at the end of 2020.