Norway: EMAS AMC Nets Ivar Aasen Subsea Pipeline Contract

Business & Finance

March 14, 2013

Ezra Holdings Limited (“Ezra”, the “Group”), a leading global offshore contractor and provider of integrated offshore solutions to the oil and gas (O&G) industry, announced that its subsea services division, EMAS AMC, has been awarded an engineering, procurement, construction and installation (EPCI) contract, valued at approximately US$165 million, from Det norske oljeselskap ASA (“Det norske”).

Det norske is a key exploration and drilling operator on the Norwegian Continental Shelf. The contract is for rigid pipe-lay and related subsea work, in the Ivar Aasen field in the Norwegian North Sea.

Mr Lionel Lee, Managing Director/Group CEO of Ezra Holdings, said, “The Ivar Aasen field is one of the largest oil discoveries on the Norwegian Continental Shelf in recent years and we are delighted with this important contract win. This win is the result of our committed strategy to become a leading global subsea construction player and validates our focus on our global subsea operations.”

Mr C J D’Cort, CEO of EMAS AMC, added, “This win is a further result of our continued efforts and commitment to strengthen relationships with some of the key oil and gas players in the North Sea region. I am quietly pleased with this particular project as it is our first significant rigid pipe-lay project in the Norwegian North Sea while it adds to our growing portfolio of EPCI projects globally. ”

The Ivar Aasen field contains approximately 150 million barrels of oil equivalent (boe), and is located some 180 km offshore Stavanger, Norway. The contracted scope of work includes project management, detailed engineering and procurement,construction and installation of three 10 km rigid pipelines via reels, including spools, pipeline end terminations (PLETs) and seabed intervention. The contract also has an option for EMAS AMC to procure and install a subsea power cable connecting the neighbouring Edvard Grieg platform to the Ivar Aasen platform.

Project management and engineering work will commence immediately and will be managed from EMAS AMC’s office in Oslo. Offshore activities are scheduled to commence in 2015, with completion in 2016.

“Our involvement in this major project represents an important milestone for EMAS AMC, as it demonstrates our commitment to the North Sea and shows our strength as a fully integrated service provider within the subsea, umbilicals, risers and flowlines (SURF) segment. We are looking forward to working with Det norske and its license partners from planning to execution, and operating at the highest health, safety, environmental and quality (HSEQ) standards,” said Mr Svein Haug, Regional Head for EMAS AMC Europe and Africa.

This latest contract win reinforces EMAS AMC’s strong commitment in the North Sea. Recent awards on the Norwegian Continental Shelf include a contract from ABB for the installation of subsea power cables from the Troll A gas platform and a contract with Statoil to exercise options and perform additional work relating to prior subsea contracts.

Norway: Det norske Submits PDO for Ivar Aasen Field

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Press Release, March 14, 2013; Image: Det norske