Contracts to Norwegian suppliers worth NOK 1.5 billion extended

January 23, 2006, 11:00 CET

Hydro has decided to extend its contracts for maintenance and modification work on six of its ten platforms on the Norwegian continental shelf to the companies Vetco Aibel and Aker Kværner. The contracts are worth approximately NOK 1.5 billion.

“We have decided to continue cooperation with these two main suppliers to ensure good and effective deliveries of maintenance and modifications work to our facilities on the Norwegian continental shelf. We look forward to continued good cooperation with these suppliers, and lay particular emphasis on their safety work for all personnel involved,” says Head of Operations in Hydro, Øystein Michelsen.

On behalf of the licensees Hydro has awarded Vetco Aibel the contract for maintenance and modifications on the platforms Oseberg Field Centre, Oseberg South, and Njord.

Aker Kværner Offshore Partner has been awarded equivalent contracts for the Brage, Troll B and Troll C platforms.

The contracts will involve more than 100 engineers in the suppliers’ premises at Sandsli in Bergen, as well as more than 300 operators who will be employed offshore on Hydro installations. The contracts will include equipment suppliers, mainly from Norwegian industry, at a total value of at least NOK 300 million.

Hydro has chosen to exercise options on its framework agreements for major modification work to Vetco Aibel, Aker Kværner and Reinertsen AS. Tasks covered by these contracts will only be entered into after prior competition between these companies.

The option on the maintenance and modification contracts runs for three years from July 1, 2006. The contracts include a remaining option for an additional three years.

As operator, Hydro’s production on the Norwegian continental shelf amounts to approximately one million barrels of oil equivalents per day.

Contact person:

Gisle Johanson, Information manager
Oil & Energy
Phone: +47 55 99 56 16
Mobile: +47 414 40 050