BP receives authorization for greater Plutonio

Sociedade Nacional de Combustveis de Angola (Sonangol), Angola's state owned oil company, authorised BP to proceed with the awarding of major contracts for the development of Greater Plutonio.

Sociedade Nacional de Combustveis de Angola (Sonangol), Angola's state owned oil company, authorised BP to proceed with the awarding of major contracts for the development of Greater Plutonio.

The project to develop six fields will be the first development in Angola's block 18 and the first BP-operated project in Angola. The fields, Cobalto, Cromio, Galio, Paladio, Platina, and Plutonio, are collectively known as Greater Plutonio. The fields are located in water depths of 1,200 to 1,500 m and were discovered between 1999 and 2001.

The Greater Plutonio development will consist of a single spread-moored FPSO linked by risers to a network of subsea flowlines, manifolds, and wells. First production is targeted for 2007.

Following authorization, BP awarded two of the major contracts for the development. The contract for engineering, procurement, construction, and management (EPCM) went to Kellogg Brown & Root. The project team will be based at Kellogg Brown Root's offices in Leatherhead, UK. The contract to fabricate the FPSO hull and topside equipment was awarded to Hyundai Heavy Industries, which will build the vessel in Ulsan shipyard, Korea.

Contracts for the subsea production system and umbilicals, risers, and flowlines will be awarded in the next few weeks. The integrated drilling contract will be awarded later in 2004.

"This is a major milestone for BP in its plans to build a new profit center in Angola. BP's net production from Angola will rise from 50,000 barrels a day in 2004 to approximately 250,000 barrels a day by 2007," said Tony Hayward, BP's chief executive, exploration and production.

BP has a 50% interest in block 18, which Amoco acquired in 1996, prior to its merger with BP. The other 50% is held by Shell. The block has an area of 5,000 sq km, and water depths vary from 500 m to 1,600 m.

02/11/04

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