Aker inks Talisman North Sea deal

EPCI deal: Talisman ropes in Aker Solutions for at least three years off Norway

Talisman Energy had handed a potential nine-year engineering, procurement, construction and installation (EPCI) contract to Aker Solutions for work in the North Sea.

The Canadian independent may be handing the Norwegian services stalwart around $430 million if optional periods on the deal are exercised.

Talisman has signed up for a firm three years for Aker to undertake engineering, procurement, fabrication, installation and commissioning at the Calgary-based company’s projects on the Norwegian Continental Shelf.

The frame of agreement, unveiled by Aker on Thursday, also includes an option for a further six years. The initial deal started from January and will run until the end of 2014.

Much of the work will be run from Aker’s Stavanger base with prefabrication being undertaken at its Egersund facility.

Aker said that, although no financials have been set in stone, it estimates that the firm three-year period should yield a contract value of around Nkr 870 million ($144.28 million) putting a potential nine-year stint above $430 million on a like-for-like basis.

Talisman’s principal operating areas in Scandinavia are in the southern and mid North Sea area, comprising 10 fields. They include the Grosbeak and Beta discoveries.

Talisman revealed this week that it may sell off up to $2 billion of assets this year as it chops capital investment due to the continued weak price of gas in North America.

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