The contract is for 30 months and is inclusive of a 14-month lease and operating period.

Chayvo is located on the eastern side of Sakhalin Island, Russia, and falls under the jurisdiction of the Sakhalin-1 consortium of which Exxon Neftegas is the operator.

In a statement Expro said, “The EPF will consist of a 50,000 bpd crude oil separation and pumping facility, and a 150 MMSCFD gas conditioning plant, together with associated utilities, plant controls, storage, workshop and offices.”

“The modular design of the equipment must accommodate severe winter weather operating conditions (-40°F and heavy snow) yet facilitate a safe, fast track solution for installation and commissioning. Russian subcontractors will be employed, under direct supervision by Expro, for on site EPF installation and commissioning,” added the company who acknowledge the personnel will be based at Chayvo to operate and maintain the plant.

Expro expects the start-up of the EPF to be in mid-2005 where it will facilitate first gas from the Sakhalin-1 project into a pipeline for local gas distribution and first oil into a pipeline for export. Operation of the EPF will then continue until Sakhalin-1’s permanent production facilities are completed.

This is scheduled for some time in late 2006.

Graeme Coutts, Expro CEO, was pleased with the contract. According to Coutts, “Expro is delighted to have received this award to participate in this significant field development. This award demonstrates confidence in our proven ability to provide fast track solutions for early production.”