£35 Million Contract to Develop UK’s Largest Undeveloped Gas Reservoir and Extend Life of BP Bruce Platform

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21 May 2003

AMEC, the international engineering services company, has extended its long term relationship with BP in the North Sea with the award of project management & fabrication contracts associated with BP’s Bruce platform and the development of Rhum – the largest remaining undeveloped gas reservoir in UK sector of the North Sea.

Work on both projects will start immediately. First gas from the upgraded Bruce platform is scheduled for the end of 2004, while Rhum will come on stream in October 2005. In addition to delivering the projects demanding cost & schedule targets, the project will place unprecedented focus on 1st year production efficiency – historically a source of lost value for new developments.

Rhum involves the development and installation of subsea process facilities over the gas reservoir in a water depth of 109 metres which will be linked by pipeline to the Bruce platform - a distance of approximately 44 kilometres. AMEC has been working on front-end engineering design for Rhum since April 2002. Soon after that appointment, BP selected AMEC to carry out concept studies for the Bruce platform to provide a ‘low pressure booster compression’ facility to extend its productive life.

As both projects require extensive brown-field work, shutdowns and the use of a heavy lift vessel, BP opted for a combined solution for the two projects in order to increase efficiencies and reduce costs. AMEC will also manage specialist subcontractor JP Kenny for the subsea work and pipelines, ensuring that BP receives a full life-of-asset service - from wellhead to topsides and concept to operation.

AMEC’s contract, valued at approximate £35 million, covers a wide range of activities including: engineering and design, procurement, fabrication, hook-up, completions and commissioning support for both projects. The work includes fabrication of a 1,700 tonne compression module for Bruce, which will begin immediately at AMEC’s facility in Wallsend, UK, where work is currently underway on another BP project - 10,500 tonnes of topsides for the BP’s Clair Phase 1 North Sea development.

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