Two drilling platforms for Peregrino field

April 2, 2007, 16:00 CEST

Hydro announced today that Hydro and Anadarko have entered into an agreement with Kiewit Offshore Services Ltd. of Ingleside, Texas, USA, for the supply of two drilling platforms for use on the Peregrino field offshore Brazil.

The platforms shall be ready for installation on the field in late 2009.

The agreement is subject to the authorities' approval of the Peregrino field development plan.

The Peregrino field is located about 85 kilometers offshore Brazil in about 100 meters of water. The recoverable reserves are estimated at approximately 300-to-600 million barrels of heavy oil.

The field will be developed with a floating production storage and off-loading vessel and two drilling platforms. There will be 30 horizontal production wells and seven water injection wells.

Production start up is planned for 2010.

License holders are:

Hydro, operator during the project planning phase, 50 percent

Anadarko, operator during the project execution and operation phases, 50 percent