Statoil has awarded Baker Hughes a contract to provide integrated drilling services for 25 fields on the Norwegian Continental Shelf (NCS), including the delivery of directional drilling, measurement while drilling, logging while drilling, mud logging, 24/7 onshore support and drilling engineering services. Work will commence in Q3 this year. “If we are going to achieve our long-term production goals, we must drill more cost-efficient wells. Hence, we need to improve drilling progress and reduce downtime during operation,” said Øystein Arvid Håland, head of drilling and well in Statoil. “The agreement contributes to the development of improved drilling efficiency, which will ensure cost-efficient drilling through focus on the quality of tools, services and personnel.”
The agreement emphasizes integrated operations (IOS), which covers the integration of people, multidisciplinary work processes and collaborative technologies to make and execute better decisions quicker. IO is enabled by the use of real-time data transfer to achieve more efficient interaction between installations, onshore support groups, experts and other vendors.
“Work processes with IOs are a way of sharing the knowledge between offshore personnel, experts onshore, our own management and our suppliers during operations,” Bente Aleksandersen, senior vice president, operation in development and production Norway in Statoil, said. “This will lead to a considerable increase in the current workload for the supplier, and we are pleased to see that contracts with Statoil generate positive spin-offs and local content where our operations are.”
The supplier is established at several locations in Norway, such as Stavanger, Gulen, Bergen, Kristiansund and Sandnessjøen. In January 2013, Baker Hughes will also open a base in Hammerfest to support operations in the Barents Sea.
The firm two-year part of the agreement has an aggregated value of approximately NOK 3 billion (approximately US$510 million). The agreement also has two optional extensions of two years each, not included in the estimated contract value.
The integrated drilling services will be performed on these installations: Brage, Dagny (optional), Eirin (optional), Grane, Heidrun TLP, Heidrun SS, Kristin Kvitebjørn, Njord, Norne, Morvin Oseberg B/C/Sør, Oseberg Øst (optional), Sleipner, Skuld, Snøhvit, Tyrihans, Troll, Volve, Vega, Veslefrikk, Aasta Hansteen and Åsgard.