Apply Sorco has secured a lucrative contract worth around Nkr1 billion ($176 million) for maintenance and modification work on Eni’s Goliat field platform in the Barents Sea.
The deal, which follows up an earlier support award for the Norwegian contractor on the field, includes engineering support and analysis, with a firm duration of three years and two options of two years each.
The latest contract is reportedly set to create 150 local jobs as it will generate work for sub-contractors Hammerfest Industriservice and Boreal Offshore in northern Norway, in line with a government goal for offshore activity to boost the regional economy.
Eni said a local presence in the Hammerfest area was a key consideration in selecting a contractor for the work.
The award is also set to trigger the start of construction of new offices for Apply Sorco adjacent to Eni’s existing local headquarters in Hammerfest that will house up to 60 staff, Petro Media News reported.
Work under the contract is set to start immediately given Goliat operator Eni’s pressing need for engineering capacity to prepare the field for operational start-up, scheduled for the third quarter of 2014.
The workscope of modifications could include all phases of engineering, procurement, construction, installation and commissioning, while the deal also encompasses maintenance of steel structures and pipelines.
Production start-up at Goliat has been delayed from an original target of late 2013 due to construction delays with the field’s cylindrical floating production unit being built at South Korean yard Hyundai Heavy Industries, with the Italian operator also facing cost overruns on the project.
Delayed development drilling has also finally gotten under way at the field using Saipem’s troubled semi-submersible Scarabeo 8, which was earlier involved in a listing incident while drilling the Eni-operated Salina gas discovery in the Barents.