Two major contracts for the deepwater Dalia oilfield in Angola
Technip-Coflexip (NYSE: TKP and Euronext: 13170) has been awarded by TotalFinaElf Angola E&P, two major contracts for the development of the Dalia oil field, offshore Angola:
- the first contract, valued at about US $640 million, involves the FPSO (floating, production, storage, offloading facility), for which Technip-Coflexip is acting as the leader of a group of engineering and construction companies. For Technip-Coflexip’s share of interest, the value of this contract is approximately US $200 million. Details on this first contract are provided in a separate press release.
- the second contract, valued at about US $580 million, involves the subsea umbilicals, risers and flowlines (“SURF”) package. Technip-Coflexip’s share of interest in this contract is 100%. Details on this contract are provided below.
These two awards demonstrate the synergies developed since the merger of Technip and Coflexip, in the form of the expanded capabilities of the new Group in the engineering and management of very large integrated deepwater projects.
They are also a major breakthrough on the western African deepwater market and a significant milestone in the development of the relationship between Technip-Coflexip, TotalFinaElf and its partners on block 17 as well as with the national oil company Sonangol.
Taken together, those two awards bring to the Technip-Coflexip Offshore Branch an additional backlog of approximately US $800 million. The total backlog of the Offshore Branch stood at Euro 1,761 million at the end of 2002.
The SURF contract includes the engineering, procurement and construction of about 90 km of steel production, water and gas injection flowlines, 70 km of steel tubes umbilicals, 25 km of flexible risers and an oil offloading system. It also comprises the pre-installation of the FPSO mooring system, the FPSO tow from construction yard and mooring hook-up, the installation of manifolds and all associated subsea tie-in operations. The project implies the use of innovative technologies such as the flexible Integrated Production Bundle (IPB) developed by Technip-Coflexip.
The project will be carried out by several operational centers of the Group: Technip-Coflexip’s engineering center based in Paris and its flexible pipe plant of Le Trait (Normandy) in France as well as Angoflex Ltda umbilical plant and the new Group’s spoolbase in Angola. Several construction vessels of the Technip-Coflexip’s fleet will be involved, including the CSO Deep Blue.
The Dalia field, operated by TotalFinaElf Angola E&P, is located in block 17 off Angola in water depths from 1200 m to 1500 m. First oil from Dalia is scheduled for mid 2006.
For Technip-Coflexip, this contract represents by far the largest SURF project ever awarded to the company and a clear show of confidence by the Block 17 partners and Sonangol in the technological capabilities of Technip-Coflexip in the subsea arena.
With a workforce of about 19,000 persons around the world, Technip-Coflexip ranks among the top five corporations in the field of oil, gas and petrochemical engineering, construction and services. Headquartered in Paris, the Group is listed in New York (NYSE: TKP) and in Paris (Euronext: 13170). The main engineering and business centers of Technip-Coflexip are located in France, Italy, Germany, the UK, Norway, Finland, the Netherlands, the United States, Brazil, Abu-Dhabi, China, India, Malaysia and Australia. The Group has high-quality industrial and construction facilities in France, Brazil, the UK, the USA, and Finland as well as a world-class fleet of offshore construction .
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