ABB has signed a project specific agreement for the safety and automation system with Statoil for the Johan Castberg offshore oil field development.
Statoil has issued the first call-off from the agreement covering front-end engineering and design (FEED).
The agreement is the first for the project and includes a right to order the actual system in the event of final investment decision.
Engineers from ABB in Norway are performing the FEED in close collaboration with Statoil. The FEED is scheduled to run until Q4 2017, when the final investment decision will take place. Every onshore and offshore oil and gas facility above the Arctic Circle in Norway features safety and automation systems provided by ABB, the company says.
“Together with Statoil we can immediately develop standard design solutions using our world-class 800xA safety and automation system. The innovative approach streamlines project execution, and helps reduce capital expenditure,” says Per Erik Holsten, managing director for ABB’s oil, gas and chemical business.
”For offshore fields like Johan Castberg located in the Barents Sea, having state-of-the-art safety and automation systems is absolutely critical,” says Holsten. “Possible future condition-based and predictive maintenance, and remote monitoring and operations, may further reduce exposing humans and nature to risks. At the same time, such services may decrease the operational expenditures and increase productivity”.
Johan Castberg features proven resources of 450–650 MMbbl. It is estimated to produce oil for more than 30 years at a value of US$35 billion (NOK 290 billion).