The turret is the mooring point for the FPSO as well as the interface between the

subsea systems and the topsides modules. It serves as a connecting point between the
FPSO and the subsea systems, and is the pathway for getting oil from the reservoir
into the vessel. Water and gas, used for injection into the reservoir, will also leave the
vessel through pipes in the turret.

Weighing more than 4 000 tonnes with an overall height of 70 metres, the Terra Nova
turret is the largest disconnectable turret mooring system ever built. Constructed to
operate in the harsh North Atlantic environment to cope with hazards such as icebergs,
it is composed of the upper turret, lower turret and spider buoy.
The spider buoy - approximately 20 metres in diameter and weighing over 1 300
tonnes, supports nine anchor chains and up to 19 risers.

When connected to the spider buoy, the Terra Nova turret is stationary. Specialized
bearings allow the FPSO to rotate, or 'weathervane', around the turret, so that the front
of the vessel is always facing into the wind. In an emergency situation, the FPSO can
disconnect in about 15 minutes. If the FPSO must disconnect, the spider buoy settles
into a mid-water depth - ready to reconnect when the FPSO returns.

The lower turret provides the connection with the spider buoy and includes winches
and other equipment needed to maintain the connection between the FPSO and the
spider buoy.

The upper turret houses a collection of manifolds, hydraulic and electrical control
equipment, as well as the swivel stack. The swivel stack serves as the interface
between the subsea production system and the topsides processing and storage system.
The swivels form a series of fluid flow paths which connect to piping on the FPSO
itself. These swivels allow fluids or electrical signals to move back and forth from the
subsea to the topsides while permitting the vessel to rotate around the turret.
The Terra Nova FPSO has four main topsides modules - the M02 water injection
module, the M03 separation and high pressure compression module, the M04
produced water/glycol module, and the M05 separation and low pressure/ medium
pressure compression module.

In addition to containing modules that process and separate the oil, gas and water
produced from the wells, the topsides structures also include the turret assembly, the
flare tower, the power generation module, the offloading reel, and the platform cranes.
Once reservoir fluids enter the FPSO, it moves up through the turret and into the
topsides modules. In the separation and compression modules, the fluids are separated
into oil, water and gas streams. The processed oil is then routed to the vessel's storage
tanks, from where it will eventually be loaded onto tankers and shipped to market.

The separated water and gas streams will undergo further treatment. The produced
water will be cleaned and routed to the ocean. The gas may go back through the turret
to be re-injected into the well or reservoir to aid in oil recovery. Additionally, some of
the gas will be used to run machinery on the FPSO, such as the boilers and power
generation modules. In the event of a process upset or shutdown when the gas
compressors are not running, a small portion of the gas could be burned off through a
flare tower located at the rear of the vessel.

Modules M02, M04, the flare tower and miscellaneous deck assemblies were built at
the Bull Arm Fabrication Site, where the power generation module was also
assembled. The M03 and M05 modules were constructed in Scotland. The modules,
which weigh up to 2 200 tonnes each, were lifted onto the FPSO at Bull Arm in late
May and early June by the heavy lift crane Asian Hercules II.

Terra Nova's flare tower is among the largest ever built, rising 100 metres from the
rear deck of the vessel. In fact, a counterbalance was required to keep the flare
structure upright when it was being lifted onto the FPSO.
Once oil moves from the reservoir into the FPSO and has been processed, the oil will
be stored within the vessel's 14 storage tanks. These tanks have a capacity ranging
from over 50,000 barrels to nearly 78,000 barrels. The biggest tanks are 27m x 17m x
26m high.

The Terra Nova FPSO is double hulled - providing double containment. The oil cargo
tanks are located within the inside hull, and are surrounded by a series of ballast tanks,
which contain seawater. The FPSO's storage tanks can store up to 960,000 barrels and
have a heating system to help prevent any build up of wax in the tanks.
To move oil to market from the Terra Nova field, oil is transported by a shuttle-tanker
capable of storing 850,000 barrels of oil. However, oil must first be moved from the
FPSO into the shuttle tanker via the vessel's offloading system - designed for wave
'significant' heights of up to about five metres (16.5 feet).

When it is time to transfer oil, the shuttle tanker positions itself about 70 metres
behind the FPSO. The FPSO then sends a messenger line toward the tanker. Attached
to this line is a mooring line known as the Mooring Hawser and an Offloading Hose -
a hose 20 inches in diameter that transports the oil from the FPSO to the tanker.

Once the offloading hose is securely connected to the tanker, and the vessels meet a
series of safety checks and balances, the transfer of oil can begin. Fuel is pumped from
the FPSO's storage tanks into two export pipes, through the export line to the
Offloading Hose. Crude flows through the Offloading Hose at a rate of up to 50,000
barrels per hour.

During the transfer, the oil passes through what is known as the Export Oil Fiscal
Metering Package. This allows the Terra Nova owners to calculate the amount of
crude offloaded and available for sale in the market.

It will take about 24 hours to transfer a full load of crude from the FPSO to the tanker.
The Terra Nova FPSO is a sophisticated ocean-going oil production
installation. From dynamic positioning to fresh water generators,
numerous state-of-the-art systems and features have been designed
into the vessel to make it as safe and efficient as possible.

Staying on station

A redundant Dynamic Positioning (DP) system is used to help the

FPSO maintain position, monitoring the heading of the vessel, its
side-to-side and fore and aft movements. The vessel's location is
constantly monitored by two independent global positioning satellite
systems, and a Hydro-Acoustic Position Reference (HPR) system,
which receives location signals from six transponders on the seabed.

The vessel is equipped with five powerful thrusters (five megawatts

each), which can be used to keep the FPSO within two to three
metres of a given set point. This is especially important during
operations to connect the FPSO with the spider buoy, and when
offloading oil to a shuttle tanker.

Maintaining balance

The FPSO's ballast system works in conjunction with its oil cargo
system. The more oil that is stored in the inner storage tanks, the
less ballast water is kept in the outer hull, and vice-versa. Vessel
Control Systems operators keep a close eye on the amount of oil and
water being stored and where it is located.

Terra Nova plans to keep the FPSO at an operating draught of

between 12.5 and 18.5 metres providing optimum stability to the
vessel, as well as keeping the deck high out of the water. When the
FPSO is carrying a full load of crude, it will weigh approximately
200,000 tonnes.

Closely related to the oil cargo system is the Inert Gas system. This
system burns diesel fuel to produce an oxygen deficient air which
can be stored on top of oil in the cargo tanks, providing an extra
measure of safety by preventing the build up of combustible fumes
in the tanks.

Generating power

The turbine generators are the main source of power for the FPSO.
Each of these generators can produce 40 megawatts of power,
which is enough power for 50,000 homes. Shortly after first oil, the
generators will be fueled by gas from the Terra Nova field. The
generators are also capable of running on any combination of field
gas and diesel.

Converting salt water into fresh water

The FPSO uses between 20 to 30 cubic metres of water a day,

mainly in the accommodations complex for showers and for
operations in the galley. While some of this water will be loaded from
supply vessels, the FPSO can provide its own water, through two
fresh water generators that convert salt water into fresh water. The
combined efforts of these generators can provide 50 cubic metres of
water - about twice the daily amount needed for the FPSO.

Heating the vessel

The FPSO also has a specialized Heating Ventilation and Air

Conditioning (HVAC) system that provides temperature control and
air circulation. In an emergency, the HVAC system will provide for
internal circulation of air to the Temporary Safe Refuge (TSR) area
for two hours.
From the sleeping quarters to the TV lounge, the Terra Nova FPSO
represents a floating workplace and home away from home for FPSO staff.
The accommodation complex is located in the forward end of the vessel,
and contains the sleeping quarters, TV lounge and exercise areas, gallery
and dining room, operations offices, offshore medical facility and
wheelhouse.

In an emergency, parts of the Lower Forecastle Deck, Deck One and the
Radio Room form the Temporary Safe Refuge, capable of protecting
people from extreme heat and noxious gases for two hours.
On the top of the accommodations area is the helideck, where helicopters
will take off and land. Below this is the emergency generator and Heating,
Ventilation and Air Conditioning (HVAC) deck, and below that, on Deck
Three is the radio room, library and the helicopter arrivals and departures
lounge.

Also on Deck Three is the wheelhouse, which will serve as the main
operations centre during sail away and when the vessel is not connected
to the spider buoy.

All sleeping quarters are located on Deck Two. Although its steady-state
complement will be 49, the vessel can accommodate up to 81 people in
seven single berth rooms and 37 double berth rooms. Rooms have a
private bath and shower and writing desk. Each room also has a television
which will be able to receive six channels via satellite when the FPSO is
offshore.

Deck One includes the recreation area, a TV/lounge and meeting rooms as
well as the galley and dining room. Meals are served buffet-style four
times a day, which includes the midnight meal for those working night
shift.

The Lower Forecastle Deck houses the Central Control Room, the Central
Equipment Room and offices. There are two coffee rooms in this area.

The FPSO's medical facilities are also located on this deck. The offshore
medical facility includes two hospital beds, and a fully trained Offshore
Health Advisor able to handle most common ailments.

On the main deck are the instrumentation and electrical workshops,

storerooms, the laundry and the FPSO's gymnasium. The facility will have
equipment similar to many gyms including rowing machines, weights,
bicycles and treadmills.
The Terra Nova project is pioneering subsea technology on the Grand
Banks. Advances include the use of 'glory holes' - depressions in the
seabed to protect subsea equipment from scouring icebergs. It also
has the world's largest disconnectable turret that will allow the FPSO
to halt production and leave the area if threatened by ice or icebergs.

Offshore interfaces

When the Terra Nova FPSO arrives at its offshore site, it will connect to
the spider buoy, which is approximately 20 metres in diameter and
weighs over 1 300 tonnes. The spider buoy is connected to a series of
flexible pipelines, called risers, which will deliver oil, gas and water to
and from the FPSO.

A complex subsea network

Terra Nova's riser / flowline system consists of nearly 40 kilometres of

flexible flowlines, risers and control umbilicals. It has been designed to
withstand a 100-year storm that could bring waves up to 30 metres
high.

Fifteen risers will emerge from the spider buoy - eleven for
production/injection and four umbilicals. These umbilicals are
essentially 'extension cords' filled with small lines that send electrical
power, fluids and commands to control the wells and manifolds in the
glory holes.

Some of Terra Nova's flowlines have been placed into trenches in the
seabed, while others are buried under tonnes of crushed rock and
sand. This not only offers protection from icebergs, it provides added
insulation for production lines in the chilly North Atlantic.

From reservoir to FPSO

Oil from the Terra Nova reservoir must go through a series of

mechanisms before it reaches the FPSO.

Fluid travels from the reservoir through the production wells, enters
the wellhead and flows into a series of production valves and piping
known as the 'Christmas Tree'. The fluids are then routed through the
manifolds - a series of valves and piping that provides the connection
between the Christmas Trees and the flowlines. Valves within the
production manifold determine which flowline will transport fluids to
the FPSO.

Terra Nova will have six wells ready for operation when the FPSO goes
offshore - four oil producers, one gas injector, and one water injector.