Hydro awards Aker Kvaerner Ormen Lange contract worth NOK 2 billion

(July 1, 2004) Hydro today awarded Aker Kvaerner the first large Ormen Lange gas terminal contract on behalf of the Ormen Lange license group. The contract value is approximately NOK 2 billion.

The EPC contract covers engineering, procurement and construction activities for the gas reception and export area in Nyhamna on the Mid West coast of Norway. It also includes the slug catcher, the flare tower and emergency shut down valves for the Ormen Lange gas terminal.

The construction activities at Nyhamna and in the yards at Stord and in Verdal will start in the Spring of 2005.

All the large contracts for the gas terminal at Nyhamna will be awarded during 2004. This includes the contracts for condensate export system, MEG regeneration system, and main installation.

Hydro is operator for Ormen Lange during the development phase, including all field development, the gas processing plant at Nyhamna, as well as the export pipeline project - Langeled.

Ormen Lange is the largest gas field under development on the Norwegian continental shelf. It is located 100 km off the northwest coast of Norway at a water depth of 800 to 1,100 meters. The field comes on stream in October 2007.

Partners in the Ormen Lange license group

Hydro (18.0728 %, operator for development phase)
Shell (17.0375%, operator during operational phase)
Petoro (36.4750 %)
Statoil (10.8441%)
BP (10.3420 %)
ExxonMobil (7.2286 % )