New well contracts

July 2, 1999, 16:30 CEST

Eight contracts worth some NOK 3.5 billion for drilling and well services have been awarded by Statoil.

Three of the assignments cover such drilling services as measurement/logging while drilling (MWD/LWD), directional drilling and mud logging.

With a combined value of roughly NOK 900 million, these contracts have gone to Baker Hughes Norge, Halliburton and Schlumberger Oilfield Services.

A further three jobs, covering drilling and completion fluids as well as cementing, have been awarded to Anchor/M-I Drilling Fluid, Halliburton and BJ Services. They are worth about NOK 2 billion.

Finally, contracts totalling some NOK 500 million have been awarded to Baker Hughes Norge and KS Camco Services Norway for completion services. These cover downhole equipment and gravel packing.

The values cited for these contracts are estimates, emphasises Arnfinn Braut, project manager for drilling and well services procurement 99. Their final size will depend on the level of Statoil's activities in coming years.

"When making the awards, we've emphasised quality, expertise, technology, and health, the environment and safety as well as price and capacity," Mr Braut notes.

With a few exceptions, the contracts cover Statfjord, Gullfaks, the Statfjord and Gullfaks satellites, Huldra, Sleipner East and West, and Veslefrikk in the North Sea, Heidrun and the Heidrun satellites in the Norwegian Sea, and exploration drilling.

They vary in length from six to eight years, including options for extensions. Statoil also has options to extend the contracts to other and future fields both off Norway and internationally.

The contracts come into effect during the autumn.