GE Lands Johan Sverdrup Contract

Business & Finance

GE Oil & Gas has been awarded a surface wellhead & christmas tree equipment and services contract by the Norwegian oil and gas company Statoil for its Johan Sverdrup project in the North Sea.

With the new multi-year agreement, GE Oil & Gas will manufacture, deliver and install its standardized surface wellhead and christmas tree systems at multiple wells that make up part of the field.

Located 155 kilometres west of Stavanger, Norway, Johan Sverdrup is one of the five biggest oil fields on the Norwegian continental shelf, with expected resources of between 1.7 and 3 billion barrels of oil equivalent.

The Christmas Tree System that GE Oil & Gas will provide incorporates a special valve that increases the longevity of maintenance intervals, resulting in reduced downtime for the operator. This will drive higher productivity and lower operational expenditure, the company said.

In addition to supplying this high-quality equipment, Statoil can also take advantage of GE Oil & Gas’ innovative digital capabilities. The two companies already collaborate together on several technology projects but this deal opens opportunities for Statoil to utilize the full range of digital solutions that GE offers in order to drive higher productivity and create “smarter” wells.

Michele Stangarone, President & CEO, Europe, GE Oil & Gas, said: “This multi-year agreement represents another step between Statoil and GE Oil & Gas, who have a long history of partnering successfully together on a wide range of projects.  The Johan Sverdrup field is one of the largest and most important fields in the world today and this deal will bring GE Oil & Gas’ leading equipment to the project to help ensure optimized and productive efficiency. Our cutting-edge equipment will enable Statoil to optimize the lifecycles of its wells, helping the company avoid unexpected shut downs and produce in greater volumes for longer periods of time.”