Transport deal awarded

January 15, 2004, 09:55 CET

A frame agreement worth an estimated NOK 600 million has been concluded by Statoil with Norway’s Nor-Cargo freight and forwarding company.

Running for five years, this deal covers inward and outward shipments to the group’s supply bases, land-based facilities and development projects in and outside Norway.

Statoil has had transport contracts with Nor-Cargo for a number of years, but the new agreement was won against sharp competition from other bidders.

The deal includes options to extend its life for up to six additional years.

“This agreement is important in ensuring a good flow of commodities to all parts of our business,” says Frank W Arnesen, head of procurement and supply in the operations support entity.

He expects to cut freight costs by 10 per cent compared with earlier contracts, and further savings are possible from making better use of the agreement.