Chevron cancels Rosebank FPSO order

A spokesperson has confirmed to Offshore that Chevron North Sea Ltd. has terminated the agreement with Hyundai Heavy Industries to provide the Rosebank FPSO.

Offshore staff

ABERDEEN, UK– A spokesperson has confirmed to Offshorethat Chevron North Sea Ltd. has terminated the agreement with Hyundai Heavy Industries (HHI) to provide the Rosebank FPSO.

“Chevron continues to value HHI as an important member of its world-wide supply chain,” the spokesperson said, “and looks forward to exploring future business opportunities with HHI in accordance with business needs.”

In April 2013, the Chevron North Sea awarded HHI a $1.9-billion contract to build an FPSO for theRosebank oil and gas field in the UK North Sea.

In August 2015,HHI contracted Bluewater Energy Services to supply the FPSO’s turret and mooring system.

According to the company spokesperson, the Rosebank project remains in the front-end engineering and design (FEED) phase.

The spokesperson added: “Chevron is working closely with its joint venture participants to further improve project value and decrease execution risk as we progress through FEED. The Rosebank development is an important part of Chevron’s UK portfolio, where the company has been active for more than 50 years, and Chevron is committed to maximizing the economic recovery of its UK resources.”

Discovered in 2004, Rosebank is 130 km (81 mi) northwest of the Shetland Islands in water depths of around 1,110 m (3,609 ft).

Operator Chevron North Sea Ltd. holds 40% equity. Co-venturers are Suncor Energy (30%), OMV (20%), and DONG E&P (U.K.) (10%).

12/14/2016

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