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Cost of Total gas plant at Sullom Voe rises £800m to £3.3bn

23 April 2013

The cost of the new gas plant and associated infrastructure at Sullom Voe in Shetland has risen by about £800m to £3.3bn, French hydrocarbons group Total told the Shetland News. The cost of the onshore gas plant alone has risen from £500 million to £800 million. The increased price tag was primarily due to the rising cost of materials and unexpected geological challenges.

Total's Shetland Gas Plant will be situated next to BP's existing Sullom VoeTerminal
Total's Shetland Gas Plant will be situated next to BP's existing Sullom VoeTerminal

Gas plant project director Robert Faulds said that 500 kilometres of pipework involved in the project would be laid within two months. Subsea production modules have already been laid 600 metres deep at the Laggan/Tormore field, 143 kilometres west of Shetland. 

The workforce has grown from 400 last year to more than 800, and will peak in four months with around 1,400 employees on site for the rest of the year.

The Sullom Voe plant, built next to BP’s existing oil terminal, will initially take gas and condensates from Laggan/Tormore, and should be linked to the Edradour, Glenlivet and Tobermory fields in 2016. 

West of Shetland should become a third hub for Total, alongside the Alwyn and Elgin fields in the North Sea.

Plans to share a power station with the BP site came to nothing, but Total will deliver condensates to BP for storage and processing. 

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