GE to Supply Subsea Equipment for ATP’s Cheviot Field in UK

GE to Supply Subsea Equipment for Cheviot Field Offshore UK

GE Oil & Gas  will supply ATP Oil & Gas (UK) Limited with subsea production equipment, ancillary systems and related services for ATP’s signature Cheviot oilfield project in the North Sea, under the terms of an $80 million contract.

ATP is a unit of Houston, Texas-based ATP Oil & Gas Corporation (NASDAQ: ATPG).

The Cheviot Field lies approximately 100 kilometers (km) east of the Shetland Isles in the northern part of the North Sea and is a redevelopment of a previous field with still significant reserves that ATP can recover economically and with modern technology.

The GE equipment, including wellheads, subsea Xmas trees and a subsea control system, will be used in conjunction with ATP’s “Octabuoy” Floating Production and Storage Facility (FPS), a state-of-the-art vessel currently under construction. As part of the contract, GE also will provide system engineering and design, procurement and on-site testing services. Product shipments will begin in February 2013 with installation later in the year. Commercial operations are expected to begin in 2014.

GE’s Wellstream unit was previously awarded a contract to supply ATP’s project management contractor with 45 km of flexible risers and flowline products for the Cheviot FPS facility. This reusable floating production and storage facility is expected to be relocated to other fields around the world after it has fully produced the Cheviot reserves.

This award confirms GE’s capability to efficiently manage different activities across several business sectors and customer offices in the U.K. and Houston in order to offer tailored solutions to specific customer requirements.

“This project is a good example of how GE can marshal extensive resources in order to help customers meet business challenges as well as technical problems,” said Rod Christie, vice president, subsea systems of GE Oil & Gas. “ATP was looking for high reliability, the lowest lifecycle cost and the ability to meet a very tight schedule. To meet these requirements, GE offered proven fit-for-purpose equipment based on our experience with comparable projects, along with world-class engineering and other services to speed installation and testing.”

Source: GE Oil & Gas, 201, May 1, 2012

 

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