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Aker Kvaerner to deliver Ormen Lange subsea compression

Hydro has awarded Aker Kvaerner a total contract which could be worth up to NOK 850 million for the Subsea Compression Pilot for Ormen Lange. This is a world first for subsea compression.

The aim of the project is to evaluate whether a subsea compression station, at approximately 900 metres water depth, is a viable alternative to an offshore platform. Later in the production phase, the challenge at Ormen Lange will be to boost the well stream in order to maintain production of gas and condensate from the reservoir. The Pilot is identical to one of four trains on the proposed full-scale subsea compression station. The contract includes an option for the partners to choose Aker Kvaerner to deliver the complete subsea compression station - a decision expected late in 2011.

Subject to the partners' final approval, Aker Kvaerner's scope of work comprises concept development, engineering, procurement, construction and qualification of the subsea compression station pilot. The objective of the pilot project for Ormen Lange subsea compression is to perform a controlled endurance test from 2009 to 2011 at Nyhamna onshore terminal.

The engineering phase starts immediately. Approximately 90.000 engineering hours will be carried out at Aker Kvaerner's office in Oslo, Norway. The compact and modularised pilot will be constructed and assembled in Norway at Aker Kvaerner's Egersund yard and will be ready for installation in January 2009.



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