GE to Supply Turbomachinery to Statoil
GE Oil & Gas and Norway-based Statoil Petroleum AS have signed two new, five-year frame agreements that call for GE to supply turbomachinery equipment as well as services to support Statoil’s installed fleet of GE turbomachinery. GE’s equipment will be deployed primarily for Statoil’s onshore and offshore projects in Norway, as well as for other global activities, between 2013 and 2018.
GE’s first equipment order under the new frame agreement is to supply key equipment for the Aasta Hansteen field in the North Sea, which includes the industry’s first offshore application of LM6000 aeroderivative gas turbine technology for mechanical drive and the latest generation of GE’s SeaSmart Offshore Package Solution, featuring an LM2500 SG DLE aeroderivative gas turbine for power generation in a more compact, durable and lighter configuration.
This is the first installation of an LM6000 mechanical drive aeroderivative gas turbine specifically for offshore applications in the industry. In 2011, GE signed an agreement with Bechtel for the supply of 16 LM6000-PFs, 12 for mechanical drive uses and four to drive generators for Chevron (CVX)’s Wheatstone Project in Australia. More than 800 LM6000 units are in operation with more than 20 million hours of service.
Aasta also will feature the latest generation of GE’s SeaSmart Offshore Package solution. Available for power generation and mechanical drive applications, the SeaSmart package incorporates either an 18-34-MW LM2500/+/+G4 or a PGT25/+/+G4, each with two configurations to choose from. The SeaSmart Offshore design provides increased availability and long-term efficiency with reduced installation and commissioning, optimized maintenance and compact, on-skid controls, auxiliaries and diagnostics capabilities. GE’s offshore-dedicated engineering team has significantly reduced the overall package footprint and weight four times since 2009. Advanced composite materials eliminate additional tons and increase corrosion resistance for harsh marine conditions, while the fully integrated package significantly reduces footprint to free up valuable deck space.
Aasta Hansteen is the first deepwater development in the Norwegian Sea and represents a new and important step in the development of the area. According to Statoil, total recoverable reserves for Aasta Hansteen, previously called Luva, are preliminarily estimated at about 47 billion standard cubic meters (scm) of gas and 0.8 million scm of condensate.
Under the new services frame agreement, GE Oil & Gas Global Services will support the new equipment sold to Statoil and also provide aftermarket products for Statoil’s installed fleet of GE turbomachinery equipment (more than 150 GE machines). The service agreement includes spare parts, upgrades and repair service as well as field service engineers and training.
The new equipment agreement includes extension options up to 10 years and the services agreement includes extension options for up to 25 years.
GE’s manufacturing facilities in Florence and Massa, Italy, will manufacture the compressor equipment and also handle the packaging of the LM6000 and LM2500 family aeroderivative gas turbines supplied by GE Power & Water’s plant in Cincinnati, Ohio.
Statoil and GE Oil & Gas' cooperation dates back to the 1970s with the supply of compressors for the Statfjord platform in the North Sea. In addition to signing their latest frame agreements, GE and Statoil recently signed a technology cooperation agreement involving key engineering personnel from both companies. Once a year, GE and Statoil’s CEOs also hold a management forum.
Based in Stavanger, Norway, Statoil Petroleum AS explores, produces and transports oil and gas including petroleum and petroleum-derived products. Statoil Petroleum AS is a subsidiary of Statoil ASA (STOHF).