Ghana's Energy Sector, Oil and Gas News
GE Oil & Gas secures $850m contract
General Electric (GE) has placed an order across its oil & gas business for the supply of $850 million worth of equipment to the country’s Offshore Cape Three Points (OCTP) block being operated by Eni Ghana and its partners, Vitol and the Ghana National Petroleum Corporation (GNPC).
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GE explained that the order incorporated both turbomachinery and subsea infrastructure, with the first shipment planned for the fourth quarter of this year. Further shipments are planned in order to deliver first oil by 2017.
This order is an example of the ‘GE Store’ at work – drawing technologies and expertise from across the company. The Turbomachinery Solutions scope, consisting of three LM2500+G4 Gas Turbines for Power Generation and four Centrifugal Compressors Electric Motor Driven, will be delivered solely by GE.
In a statement released in Accra, the company said when it came to engineering, it would utilise multiple areas of the company’s expertise across its Italian (Florence and Massa) and French (Le Creusot) operations.
The four Electric Motors suitable for a floating, production, storage and offloading vessel (FPSO) together with three Electric Generators for Gas Turbines will be delivered to GE Oil & Gas by its sister business, GE Power Conversion.
The subsea production system will be delivered by a consortium between GE Oil & Gas and Oceaneering International Inc. The system will include the Subsea Production and Control System (SPS) and Umbilicals Engineering, as well as project management, fabrication, transport and testing.
“This order draws on the full range of GE expertise,” the President and Chief Executive Officer of GE Oil & Gas, Mr Lorenzo Simonelli, said, stressing that “it shows the value of our broad technology scope, cutting across two of our business units and leveraging the GE store to deliver innovative, economic solutions for our customers”.
The CEO of GE Ghana, Mr Leslie Nelson, said “this significant award reflects both our global expertise and commitment to local delivery. We will be delivering engineering from the UK, manufacturing from Aberdeen and turbomachinery solutions from Florence. But we will also be partnering on the ground,” he stated.
As part of this activity, GE Oil & Gas is committing to long-term capability building in the region. In order to deliver asset management services to the Offshore Cape Three Points development, it has also established a Joint Venture with an indigenous company.
Alongside this, GE is funding the development of a local capacity and skills development programme with the Ghana National Petroleum Corporation and Ashesi University.
The investments
are expected to help GE grow its employee count in Ghana by 65 per cent and support the training and development of Ghanaian oil and gas professionals over the next few years.
The subsea scope of the order was booked directly with Eni Ghana and its Partners Vitol and GNPC. The Turbomachinery scope has been awarded by Yinson Production (West Africa) Pte Ltd, which is the company selected by Eni and its partners Vitol and GNPC for the FPSO vessel.