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Statoil awards 1.5 bln crown drilling contract to Baker Hughes

Baker Hughes has picked up the US$190 million (NOK1.5 billion) onshore contract for integrated drilling services on the massive Johan Sverdrup field offshore Norway. “This long-term contract, especially with the highly contested bid process, shows the confidence Statoil has in Clariant’s capabilities to provide supply of innovative chemicals and services to meet their needs”, says Frode Bekkestad, managing director of Clariant Oil Services Scandinavia AS.

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Statoil has now signed several contracts to increase expertise and save costs, including this integrated drilling and well services (IDWS) contract for Johan Sverdrup. The estimated contract value is NOK 1.5 billion and is valid for six years with a four-year extension option for the entire field life.

For Statoil, a Norwegian metal worker in late June started cutting steel for the jacket, the tower support structure, for a riser platform used for Johan Sverdrup. The field is about 1900m deep, in 110-120m water depth, and covers about 200sq km.

“Drilling will commence in 2016”, Oivind Reinertsen, Statoil’s senior vice president for Johan Sverdrup development, said in a statement.

The Johan Sverdrup partners submitted their plan of development and operation for phase 1 at the North Sea license to the ministry in February and asked the ministry to determine the final allocation of resources.

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The platforms will be bridge-linked. Statoil – Stavanger, Norway – has been named the operator for all phases of field production by the Johan Sverdrup partnership, which consists of Statoil, Lundin Norway, Petoro, Det Norske Oljeselskap and Maersk Oil.

Baker Hughes to supply Johan Sverdrup well services