Norwegian oil and gas major Statoil has announced plans to upgrade the Grand Bahama's South Riding Point storage terminal in a deal worth $200 million.

Speaking to Bahamian daily newspaper the Tribune Bent Pedersen, Statoil's vice-president, said investment will be managed in two phases, the first of which will be to increase safety standards through training and equipment upgrades.

The company will then allocate additional funds to training and development and infrastructural upgrades to facilitate the blending of crude oil at the plant.

"We have already commenced training...trying to get up to the level that Statoil requires," said plant manager Delton Russell.

The decision to buy the plant was made after the company struck oil in deepwater off the coast of Brazil.

The company has also this month increased its presence in the Gulf of Mexico, taking on a 21.5 per cent stake in the St Malo project operated by Union.

Oil and Gas Directory: Training and Development