Framework placed in advance

February 21, 2002, 13:30 CET

Statoil is to enter into frame agreements with FMC Kongsberg Subsea AS, ABB Offshore Systems and Kværner Oilfield Products for the delivery of subsea systems.

According to the agreements, the companies will compete for each contract Statoil awards for such systems.

"The reason for moving from one frame contract to several frame contracts with a full round of tenders is that we would like to have several companies in the picture at all times who can compete to supply the best technological and cost-effective solutions," explains Edvar Evjen, head of procurement for subsea installations and marine operations.

The agreements are valid for five years, with two-year extension options The total value for the first five years will be between NOK 3 billion and NOK 5 billion. Plans call for the frame agreements to be signed in March.

Statoil and Kværner have already signed a letter of intent which covers delivery of subsea wells, control systems and templates for the Kristin field in the Norwegian Sea. The order is worth roughly NOK 1 billion.