Rune Andersen Procurement manager Aker Kværner Engineering & Technology Skarv-Idun

1. Rune Andersen Procurement manager Aker Kværner Engineering & Technology Skarv-Idun

2. Operating structure Aker Kværner ASA Martinus Brandal, President & CEOBjørn Erik Næss, EVP & CFO Oil & Gas E&C E&CEurope FieldDevelopmentEurope MMOEurope Subsea Products &Technologies Oil, Gas, Process & Energy JarleTautra Executive Vice President SimenLieungh Executive Vice President TorleifGram Executive Vice President RaymondCarlsen Executive Vice President MadsAndersen Executive Vice President GaryMandel Executive Vice President

3. Field Development Simen Lieungh Finance Jone Torstensen Strategy and BD Russia/Caspian Risto Neuvo Human Resources May Wenche Hammert BD Global Gunnar Sæther HSE Einar Gjestrum Communications Stein Inge Liasjø Engineering & Technology Arnstein Ansnes Project execution International Lars Solberg Project Execution Norway Stian Vemmestad Fabrication Bjørnar Skjevik • AKE • AKV • AKET • AKET • AKS

4. Refining & Chemicals Power Generation Pulp & Paper Mining & Metals Deepwater, floaters Who we are What we do One group of companies23 000 employees in 30 countries Subsea Planning and executionof capital projects Providing technology,products and solutions Onshore O&G plants Providing life-cycle operations,service and maintenance Fixed platforms Oil & Gas Engineering & Construction Other E&C businesses include Pharmaceuticals,Union-Construction, Non-Union Construction

5. Focus on operations – drive improvements and initiatives Flexible Cost Base Global Execution Excellence (GxxTM) HSE Step Change Flexible cost Flexible cost Fixed cost Fixed cost • Outsourcing • Flexible labour – agency • Operating cost reductions • Risk management • Common project execution model • Global sourcing • “Just Care” used as a theme and symbol of our HSE culture • Group-wide HSE operating system • HSE leadership training

6. …further increasing technology development Focus on gas, concrete and floating structures Strenghten #1 Pulping and Power boiler position Drive increased oil recovery within Subsea and P&T

7. Dalia subsea …building long-term and focusing on nichesWorld-class projects based on technology & competence Kristin Ormen Lange White Rose FPSO Sempra LNG terminal Sakhalin II concrete LNG terminal Kashagan process modules

8. SKARV-IDUN AKET SoW: - FPSO FEED and overall system responsibility - Option for FPSO Topside Detail eng. & Procurement, Construction Mngmt assistance Concept Development Characteristics: Start-up 3Q 2010 Oil production capacity 13 500 Sm3/d (85kbbl/d) Gas production capacity 19 Mill Sm3/d Topsides mass 16.000 Te Hull mass 42.000 Te Turret/mooring 4.000 Te Subsea wells 20 Subsea templates 6 • Project characteristics: • 470 mmboe recoverable resources • Phased development with early oil production • 80kms of 26” NB pipeline to existing Åsgard Transport System

9. Complete FPSO as of June 2006 Skarv-Idun Dimensions: Length over all 297.2 m (approx.)(incl helideck) Breadth moulded 50.6 m Draught, design 19.4 m Topside Weight 16.000 ton (dry) Hull & LQ 42.000 ton (dry) Turret 4.000 ton (dry)

10. Skarv Idun PAU Typical PAU dimensions: Width: 24 meters Span: 46 meters Deck height: 9 meters Lift weight: 2700 tonnes

11. Skarv Idun FPSOtopside Procurement of Equipment 2006 2007 2009 2010 2008 FEED Detail Engineering Fabrication of Modules Hull EPC Integration Procurement: Ready for tow to field Caterory 1 Equipment: Inquires Delivery window POs Caterory 2 Equipment: Inquires Delivery window POs Caterory 3 Equipment: Inquires Delivery window POs

12. AKET Procurement Scope of Work (As defined in contract) It is Contractor’s responsibility to provide personnel, systems and other resources to support Company with the following: Contractor’s scope is procurement of long lead equipment for free issue to hull and topside fabrication contractors on behalf of Company, but there could also be other procurement items as agreed with BP. All procurement work shall follow the EU procurement utility and Services Directive No 93/38/EEC • Collect and analyse market intelligence and recommend purchasing strategies • Prepare procurement packages, tender and place project Contracts and Purchase Orders • Manage Project Contracts and Purchase Orders • Arrange for logistics i.e. shipment of procured materials and equipment to the topsides, turret and hull fabrication yards, including insurance, taxation, permits and protection from elements

13. Procurement split of responsibilities EPcma and TFI • EPcma (Aker Kværner Engineering & Technology on behalf of BP) • TFI (TOPSIDE FABRICATION AND INTEGRATION CONTRACT) • TFI Contractor not selected.

14. Procurement process (How to become a bidder on the Skarv-Idun topside project) • All purchasing activities to be performed according to EU utility and Services Directive 93/38/EEC. • Achilles joint qualification system is the sole source for establishing bidders list for the Skarv-Idun topside project.AchillesFKO.pdf • Potential bidders registered in Achilles will be requested to pre-qualify for the Skarv-Idun project. • The final bidders list will be based on the best ranked responses from the pre-qualification process. (limited numbers of bidders)

15. HSSE issues • Project vision • “No accidents, no harm to people and no damage to the environment” • HSSE is an important evaluation criteria for bidders list • HSSE is weighted 25% - 10% during evaluation process • products to be safe, promote work environment and be environmental friendly • suppliers to have a high HSE standard during manufacturing and risks for serious incidents shall be minimized • Suppliers should ensure complete HSSE information in Achilles and revert to all questions in project HSSE questionnaire (ref. instruction to bidders) • HSSE issues will have focus in bid clarification meetings • Suppliers will not be excluded from HSSE reporting and all suppliers are required to notify without delay any fatality/serious incident during manufacturing

16. Priority 1 packages • Packages essential to confirm the conceptual design (i.e. packages with major impact on the system and area design and which are needed to freeze the overall layout). • Site need for installation of physical package (long lead item) On this project lead time > 1,5 year • Inquiry starting September 2006 • Purchase Orders to be awarded within 01.03.07

17. Priority 1 packages • Metering package • Plate heat exchangers (long lead item) • Shell and tube heat exchangers • Separators • Main power generator (BP REI initiative) Frame Agreements • Gas compressors (BP REI initiative) Frame Agreements • Vapour recovery • Methanol injection • Glycol Contactor and regeneration • Electrostatic coalescer

18. Priority 2 packages • Inquiry starting January 2007 • All Purchase Orders to be awarded within 01.08.07 • Mechanical packages • Miscellaneous pressure vessels and atmospheric tanks • Scrubbers • Chemical injection • Nitrogen gas generator and receiver • Produced water treatment • Electrical heaters • Filters and strainers • Pumps (Several pump packages) • Flare tip and flare ignition • Pedestal cranes, and miscellaneous lifting equipment

19. Priority 2 packages continue • Electrical • Electrical Distribution package • 230/400v Ex. Distribution boards • Instrumentation • Corrosion monitoring system • Sand monitoring • Condition monitoring system • Hydraulic power unit • Pipeline protection system • Analysers • Control valves and severe service valves • Pressure Safety valves and rupture discs • Structural • Elastomerical bearing

20. Priority 2 packages continue • Safety = standardisation through the FPSO • Deluge, sprinkler hose reels and monitoring. • Miscellaneous safety equipment • Telecom • Various telecom packages • Piping • All valve packages, including actuated valves

21. Priority 3 packages • Inquiry From August 2007 - January 2009 • Flexible drain gullies • Jet fuel storage • Seawater intake hose • Workshop equipment, lifts forklifts i.e. • Hose loading stations • Some telecom packages • + Various minor items

22. Standardisation through the FPSO • Some materials have been identified for standardisation through the FPSO. • EPcma contractor shall establish Frame Agreements, preferred supplier lists or nominated brand. • EPC Project Contractors, hull, turret, TFI FC contractor and equipment suppliers shall call-off directly from these selected suppliers. • Pre qualification and inquiry process starting September 2006

23. HV/LV Switchgears / switchboards / distribution boardsEx. Distribution boards AC/DC UPS and batteries Socket outlets, junction boxes and push buttons. Heat tracing cables and accessories Fluorescent light fixtures Flood light fixtures Low voltage AC motors Actuator / control panels for on/off valves Control valves Temperature and pressure instruments, including manifolds and enclosures Pressure safety valves Corrosion monitoring system Fire & Gas detectors (field devices) Armoured level gauges Magnetic level gauges Radar level transmitters Public Address and alarm loadspeakers Telephone equipment and PA flashing lights Info, safety and ID signs Deluge, sprinkler, hosereels & monitors Miscellanous safety equipment List of standardisation packages