BP Amoco is hoping to employ engineering contractors by the end of next month to undertake the initial development of the giant Clair oilfield off the west coast of Scotland.
The company said it expected to start a tender process for a front-end engineering design contractor or contractors by the end of June. It will award the work in the third quarter.
While the field is estimated to have between 3-6 billion barrels of oil, its geology is highly complex and the initial project would only seek to recover 160 million.
BP Amoco and its partners in Clair – Chevron, Conoco, Enterprise and Amerada Hess – cancelled engineering contracts for an initial project in early 1998 following the collapse in oil prices. The company said a cost reduction of about 30% on the proposed capital cost at that time would be needed to deliver a `sanctionable project’.
If this target can be achieved, the operator is expected to sanction the project in mid-2001, with the aim of producing the first oil in 2003/4.
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