Aker Solutions, Petrobras Enter Subsea Equipment Contract (Brazil)

Aker Solutions has entered a frame agreement with Petrobras to provide subsea equipment for the oil company’s deepwater pre-salt field developments in Brazil. The contract value is approximately NOK 4.6 billion (USD 800 million).

The scope of work is for 60 well-sets with vertical subsea trees, subsea control systems, tools and spares within the 2014-2018 period.

“Aker Solutions is honoured to work with one of the world’s leading deepwater operators. This long-term agreement confirms our partnership with Petrobras and reflects our dedication to the Brazilian market,” says Øyvind Eriksen, executive chairman of Aker Solutions.

Petrobras will deploy the 60 well-sets in the pre-salt field developments located 300 kilometres off the São Paulo coast in the Santos Basin.

“We are committed to developing the subsea industry in Brazil by growing our Brazilian expertise supported by our international competence network,” says Luis Araujo, president and country manager of Aker Solutions in Brazil.

Aker Solutions has decided to further invest and expand in Brazil due to the NOK 4.6 billion frame agreement with Petrobras and market forecasts for the Brazilian oil and gas industry.

A new subsea manufacturing facility will be established in Curitiba in the state of Parana, 800 km south of Rio de Janeiro. This new technology centre will replace the current plant by 2015 and will employ approximately 1100 people.

Only the first few well-sets within the new frame agreement will be manufactured at the existing plant, while the remaining well-sets will be assembled and tested at the new facility.

“We are continuing our efforts to establish large scale manufacturing capabilities based on the technologies developed for Petrobras during our first pre-salt projects. Our proven pre-salt technology gives Aker Solutions a strong position in this market, and this will be used to further enhance local content, such as subsea control systems. Aker Solutions has continuously invested in developing the know-how and expertise of its employees in Brazil,” says Araujo.

Aker Solutions is also investing within other parts of the Brazilian offshore industry. Last year, the company announced that it will build a new multi-purpose service site for its drilling equipment business in Macaé, 180 kilometres northeast of Rio de Janeiro, significantly expanding its capacity to serve the country’s fast-growing drilling market. This site will be Aker Solutions’ fourth facility in Brazil, in addition to sites in Rio das Ostras, Curitiba and Rio de Janeiro.

Aker Solutions has built up a significant presence in Brazil since 1978 when the company was established locally. Today Aker Solutions has 1400 employees in Brazil. In addition to being a market leader in the pre-salt area for subsea equipment and services, Aker Solutions delivers downstream and topsides process technology, offshore mooring and loading systems, deepwater drilling systems, and subsea intervention services.

[mappress]

Press Release, March 27, 2013