Troll Gas Sales Agreement

On June 19, 1996, we took over Norske Shell`s Troll Gas pipeline, with gas entering service in the first half of this year, which marked the completion of gas development. Contract gas deliveries began on 1 October 1996 as part of Troll`s gas sales contracts to continental Europe. The first deliveries under these contracts, which began on October 1, 1993, were made from our development in Sleipner in the North Sea. Most gas processing operations are carried out onshore at the new 2.8 billion NKr processing plant in Kollsnes, near Bergen. It was originally planned to treat 84 mcm/d of gas by the year 2000. The rapid development of gas sales led to the installation of a third processing train and a fourth and a fifth compressor. Installation modifications are already underway to increase the flow capacity to 100 mcm/d. The foundations were manufactured by Kvaerner Concrete Construction and projected into the field and installed in the foundations of the seabed through a controlled balancing of water and air, so that expensive heavy cranes are not necessary. The corresponding gas will initially be re-injected until next year, the 150-mile 16-inch pipeline is transferred to the Statoil/Conoco methanol plant in Tjeldbergodden, with gas export sales beginning in April 1997. A major gas sales contract is required before the gas cap can be primed. Hydro plans to present a preliminary planning plan to partners in the coming year. At the end of 1996, it will seek the authorisation of the authorities: it is likely that a floating production unit will be installed in the northern part of the field and that the additional reserves could be put into production in early 1999. Beyond the elegance of these structures, the idea was that one was perhaps witness to the last of the greats.

Who knows? But it is certain that Norwegian operators, who may be a little behind the UK in this regard, are now moving towards the preference for floating production vessels. The EPCI command is an option for the frontal engineering and design work won by Aker Solutions last September for phase 3 of troll development. The trollfeld, located 65 km west of Kollsnes, holds about 40% of Norway`s offshore gas reserves.