Statoil has awarded EPC contracts for the delivery of subsea production systems and services for the Troll Phase 3 project in the North Sea and the Askeladd project in the Barents Sea, respectively, to Aker Solutions.
The contracts have a total estimated value of between NOK 1.5-2 billion. The contracts include installation and commissioning support services. Work starts this month, with final deliveries scheduled for 2020.
Torger Rød, Statoil’s senior vice president for project development, said: “The Troll field is key to the role of the Norwegian continental shelf (NCS) as a gas exporter to Europe. Thanks to Troll Phase 3 we may maintain this role for decades to come.
“Located in the Barents Sea Askeladd will provide feedstock for the Snøhvit LNG plant at Melkøya off the coast of Hammerfest.”
The Snøhvit partnership is planning an investment decision for Askeladd in March 2018. As settled with government authorities it will not be necessary to submit a new plan for development and operation (PDO) for approval, as the project will be part of the existing PDO for the Snøhvit field.
The contract award is subject to the partnership’s investment decision.
The Troll partnership is planning an investment decision and submission of the PDO in the third quarter of 2018. The contract award is subject to the partnership’s investment decision and government approval of the PDO.
According to Aker Solutions, work on the two systems will involve facilities in Norway, Brazil, the UK and Malaysia. Initial deliveries are scheduled for the second quarter of 2019. Aker Solutions’ facilities in Ågotnes on the west coast of Norway and Hammerfest, located on the country’s northern tip, will provide the subsea services for Troll and Askeladd.
Statoil’s chief procurement officer, Pål Eitrheim, commented: “A competent and competitive supply industry is essential to the further development of the NCS. The contract with Aker Solutions focuses on standardization, simplified requirements and a sustainable cost level. This provides a solid foundation, not just for project implementation, but also for safe and efficient Troll and Askeladd operations.”
The contracts awarded for Troll 3 and Askeladd are part of the contractual framework signed between Statoil and several suppliers within the subsea segment in the autumn of 2017, in the same way as similar contacts for the Johan Castberg and Snorre Expansion projects.
Troll Phase 3 covers the development of the large gas reserves in the western part of the Troll field. Located about 60 kilometers west of Sognefjorden the Troll field is the most prolific field on the NCS. The field is located in some 330 meters of water, about 25 kilometers north-west of the Troll A platform.
The development concept includes a subsea development system consisting of two subsea templates (each with four well slots), 8 production wells and tie-in to the Troll A platform. Troll Phase 3 is scheduled to come on stream in the second quarter of 2021.
Partners in the Troll field are Statoil (30.58 % – operator), Petoro (56 %), Norske Shell (8.10 %), Total E&P Norge (3.69 %) and ConocoPhillips Skandinavia (1.62 %).
Discovered in 1981 Askeladd consists of the North, South, Gamma and West segments. Askeladd is part of the plan for development and operation (PDO) for Snøhvit LNG (approved in 2002). Snøhvit came on stream in 2007.
The field is located in about 250 meters of water, some 40 kilometers from the existing Snøhvit development some 140 kilometers north-west of Hammerfest. The concept for Askeladd initially consists of two subsea templates, each with 4 well slots. They will be tied in to the existing infrastructure. Three wells are planned to be drilled, one in each of the North, South and Gamma segments. Askeladd is scheduled to come on stream in the third quarter of 2020.
Snøhvit partners are Statoil (36.79 % – operator), Petoro (30.00 %), Total E&P Norge (18.40 %), Engie E&P Norge AS (12.00 %) and DEA Norge AS (2.81 %).