Origin announces preferred contractor for Kupe Gas Project
Origin Energy Resources (Kupe) Limited ("Origin"), as operator of the Kupe Gas Project in New Zealand, has awarded
'preferred contractor' status to Technip Oceania Pty Ltd for construction of both the onshore and offshore components of
the project.
This follows the announcement last month of Technip as preferred tenderer for the construction of the production station
and other onshore infrastructure.
The offshore component of the project - which has now been added to the original scope of work - involves the design,
construction and commissioning of the offshore platform, the pipeline and umbilical connecting the platform to the
production station and supervising the Horizontal Directionally Drilled (HDD) shore crossing.
Subject to a final investment decision and if Technip is awarded the contract for both the on- and off-shore components
of the project, Origin and Technip will form a joint implementation team (called an Alliance Team).
The team will be led by senior executives from Origin and Technip and resourced by personnel from both companies.
"Using the same contractor for both the on- and off-shore components of the project, and managing the construction under
an alliance agreement, offers enormous advantages to the project," said Origin's Executive General Manager for Major
Development Projects, Andrew Stock.
"This arrangement will assist the identification and realisation of synergies between the work programs for each
component of the project, resulting in cost and logistic efficiencies. It will lead to more effective execution of the
project."
"We believe having the project owners and the lead contractor working as one team, with shared objectives and shared
risk/reward arrangements, is the best way of managing the currently-challenging and competitive oil and gas construction
market," he said.
Technip Oceania is based in Western Australia and Malaysia and provides engineering and construction management services
across Asia Pacific with access to the global resources of Technip, one of the world's largest project management and
construction companies.
The award of a preferred contractor is another important step towards reaching a final investment decision on the
project later this half-year.
ENDS
Participants are:
Origin Energy Resources (Kupe) Limited* 50% (Operator)
Genesis Energy 31%
New Zealand Oil & Gas Limited 15%
Mitsui E New Zealand Limited 4%
*a wholly owned subsidiary of Origin Energy Limited
About Origin Energy: With a history dating back 140 years, Origin Energy is a major Australian integrated energy company
focused on gas and oil exploration and production, energy retailing, power generation and utility network management.
Origin seeks to find, develop and produce gas and oil reserves strategically located close to energy markets and
existing infrastructure. Its exploration portfolio in New Zealand includes acreage in the Taranaki, Northland and
Canterbury Basins. Origin's interest and operatorship of the Kupe Field is an example of the company's efforts to secure
and develop new producing assets in the region.