Dana Petroleum, on behalf of the Western Isles license partners, has signed two agreements with Sevan Marine for the application of a Sevan FPSO for the development of the Western Isles project:
A Technology License Agreement granting rights to use Sevan Marine’s patented technology for the cylindrically shaped FPSO and A Service Agreement providing the project with relevant expertise for support during the FPSO EPC project execution.
The COSCO Nantong and Qidong Shipyards in China will be responsible for the construction of the FPSO.
The Dana-operated Western Isles Project will develop two discovered oil fields called Harris and Barra in the Northern North Sea, 160km east of the Shetlands and 12km west of Tern field. It involves a subsea development of at least five production and four water injection wells tied back to the FPSO with oil export using shuttle tanker.
The Western Isles fields partners are Dana Petroleum (operator with 77%) and CIECO Exploration and Production (UK) Limited (“CIECO”), a subsidiary of ITOCHU Corporation (23%).
Meanwhile the Board of Directors of COSCO Corporation (Singapore) Limited (the “Company”) has announced that COSCO Nantong Shipyard Co. Ltd., a subsidiary of the Company’s 51% owned subsidiary, COSCO Shipyard Group Co. Ltd., has secured a contract valued over USD370 million from a European company to build one FPSO.
The FPSO will measure 78 meters in diameter, 32 meters high and will have a storage capacity of up to 400,000 barrels of oil. The FPSO is scheduled for delivery in June 2015.