MW Kellogg Limited (MWKL) was the main contractor on three previous major upgrading and expansion projects at the Karsto facility, which is a hub for gas production to 30 large and small fields in the North Sea and the Norwegian Sea. The contract has a value of approximately $175 million.

In addition to detail engineering, the contract calls for procurement assistance and construction assistance. The project is expected to be completed by 2012, with upgrading work beginning in autumn 2008.

MWKL has also sub-contracted the civil engineering detail design to Norconsult, based in Oslo, Norway and significant elements of the instrument upgrade to Sorco, based in Stavanger, for this phase of the project.

John Quinn, CEO of MWKL, said: We have been working with Statoil on the large gas and natural gas liquids processing plant at Karsto for a quarter of a century. The latest award is further evidence of our ability to design and construct major processing plants on schedule and with an exemplary health, safety, and environmental record. Having already completed one major revamp at Karsto we look forward to performing work on this even more complex project.