Page 10: of Maritime Reporter Magazine (July 1996)

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WU 138251 (908) 964-7426 1250 Liberty Ave., Hillside, New Jersey 07205, USA have a 30 percent interest, while

Sakhalinmorneftegas-Shelf and Rosneft-

Sakhalin have a 23 and 17 percent interest, respectively.

Potential Development Description

The development of the three fields will involve a combination of large, ice-resistant platforms and subsea templates. Significant onshore facilities, pipelines and project infra- structure will have to be established on the island in order to support the project and the export of oil and gas. Portions of the onshore facilities and pipelines may be a joint industry project serving all offshore Sakhalin fields.

Production from the project will be available to both local and export markets. Russian members of the consortium and the foreign partners will be responsible for marketing their own respective shares of production.

Project Timeline

Feb. 1991 — Exxon and SODECO agreed to jointly pursue Sakhalin offshore tender opportunities.

Nov. 1993 — Russian Federation Government and Sakhalin Oblast grant rights to negotiate for Sakhalin I exploration and development including the Chayvo,

Odoptu, and Arkutun-Dagi fields to Exxon and SODECO.

Dec. 1993 — An agreement was signed by the Russian Federation

Government, the Sakhalin Oblast, Sakhalinmorneftegaz, and Exxon/SODECO to perform

Technical and Economic Calculations (TER) for the evaluation of the development of the

Sakhalin I fields.

Sept. 1994 — The TER was submitted for expertise review and approved as the basis for further PSA negotiations.

May 1995 —Rosneft-Sakhalin and Sakhalinmorneftegaz-Shelf joined Exxon and SODECO in a Consortium to develop the Sakhalin I fields through the JOA.

June 1995 — The Sakhalin I PSA was approved by the Russian Federation

Government, the Sakhalin Oblast, and the Consortium.

Jan. 1996 — The Russian Federation Government adopted the Law on

Production Sharing. Work continues on additional legislative and normative acts that will be required to complete the legal and fiscal framework for PSAs.

June 1996 — Licenses are granted to the Consortium by the Russian

Federation Government and the Sakhalin Oblast covering the Sakhalin I fields. $159 Million Navy Contract Awarded

The U.S. Navy has awarded a $159 million contract to the Lockheed Martin-Raytheon-

Northrop Grumman team for the design, devel- opment, integration, and testing of the New

Attack Submarine (NSSN) command, control, communications and intelligence (C3IS) for sonar, combat control and architecture subsys- tems.

As one of the principal subcontractors to

Lockheed Martin Federal Systems, Raytheon

Electronics Systems (RES) will receive an ini- tial contract for approximately $40 million dol- lars to begin design efforts on the program.

Raytheon will be responsible for the combat control subsystem, which coordinates all tar- geting and torpedo/missile launches, and for the transmit portion of the sonar subsystems. "This is an important win for our

Portsmouth, R.I., operations and helps solidify our role as a key player in designing and pro- ducing combat control systems for the Navy," said Walter V. Trainor, vice president and manager of naval programs for RES.

The NSSN is the Navy's next-generation attack submarine and is designed to ensure that the Navy can maintain battlefield domi- nance of undersea warfare.

The Raytheon work will be performed at its

Portsmouth, R.I. operations.

For more information on Raytheon

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