The Rt Hon Edward Davey MP, Secretary of State for Energy and Climate Change, joined GDF SUEZ E&P U.K. in Aberdeen yesterday to witness the signing of another major contract with the U.K. supply chain for the Cygnus project. The deal with Burntisland Fabrication Ltd (BiFab) to construct the accommodation platform of the GDF SUEZ operated Cygnus development is one of several partnerships helping to deliver more investment and new jobs for U.K. companies.
Having signed the Field Development Plan when the Cygnus Project was sanctioned in August 2012, the Secretary of State oversaw the formal award of the contract for the construction of the Quarters and Utilities platform (QU) to Fife based BiFab. The contract covers the fabrication and construction services for the platform, including the design, procurement, pre-commissioning assistance, weighing and load-out. The project schedule sees mechanical completion by Q4 2014 and onshore commissioning complete by Q1 2015, with construction manpower on the QU estimated to peak at 320, including subcontractors.
Edward Davey MP, U.K. Secretary of State, said, “Cygnus is one of the most important projects currently being undertaken in the Southern North Sea and clearly demonstrates the ability of the U.K. supply chain to complete on the global stage. GDF SUEZ and the Cygnus partnership are demonstrating the great potential that still exists in U.K. waters for the oil and gas industry and the Government remains committed to providing the right investment environment for future projects.”
Jean-Marie Dauger, Executive Vice-President of GDF SUEZ, in charge of the Global Gas & LNG Business Line, commented, “Cygnus is a major project for the U.K. gas industry and the Secretary of State’s presence is recognition of the significance of this field for the U.K., and of GDF SUEZ’ role in finding and developing it. ”
Greg McKenna, Regional Director - Southern North Sea, Centrica Energy Upstream, said, “For Centrica, this £1.4 billion investment represents a critical part of unlocking the Southern North Sea basin, which enables us to secure more U.K. gas for our customers.”
John Robertson, Managing Director, Burntisland Fabrications, said, “The award of this contract has allowed us to recruit an additional 100 people across our operations at Methil, Arnish and Burntisland, further bolstering the 100 new positions already created for the Cygnus jackets project, which included 15 new apprentice roles. There is a good working relationship between all companies involved in delivering the Cygnus Project on time and safely.”
BiFab were previously awarded the contract for the design and fabrication of the jackets for all four platforms on the field following sanction of the project. Overall, the Cygnus partnership is investing £1.4 billion (GBP) in the development of the Cygnus field and is creating 4,000 direct and indirect jobs across the U.K. during the construction phase.
Due to be operational by the end of 2015 and led by operator GDF SUEZ E&P U.K. (38.75 percent) with partners Centrica (48.75 percent) and Bayerngas (12.5 percent), the Cygnus field is the largest discovery in the Southern North Sea in 25 years. Peak gas production from 2016 is expected to account for 5 percent of U.K. domestic gas production, meeting the demand of almost 1.5 million homes in the country.