Following Statoil’s submission of development plan for a Barents Sea field, NorSea has decided to expand its Hammerfest supply base.
NorSea Group on Tuesday said it would invest 60 million NOK, with Hammerfest Harbour, to build a new Roll-on/Roll-off facility at its Polarbase supply base, expecting more workload in the area as the development work on Statoil’s Johan Castberg field begins.
The Johan Castberg field development concept includes an FPSO and a subsea development with a total of 30 wells, 10 subsea templates and two satellite structures. The Johan Castberg development costs are estimated at around NOK 49 billion (approximately $5.9 billion).
NorSea Group CEO, John Stangeland, said: “The Johan Castberg decision is an important milestone for our long-term focus in Hammerfest. The decision in itself triggers a 60 million NOK investment, which will see us build a new, modern ro-ro structure at Polarbase.
He said: “In addition to this, we believe the Johan Castberg project will create establishment needs for the wider supplier industry in Hammerfest, and we anticipate that we will make further investment in infrastructure to meet these needs.”
Polarbase Managing Director Ketil Holmgren, who attended the submission of Statoil’s Johan Castberg plan for development and operations in Hammerfest, stated: “Our existing supply base in Hammerfest is well established with good functionality. New ro-ro facilities at the quay will allow for even more efficient loading and unloading work, and the expected further investments will contribute to even better facilities at our supply base going forward.”
NorSea has deemed the Johan Castberg decision as crucial for further developing a competitive supplier cluster in Hammerfest.
Stangeland also said: “The development phase means many years of project activities. Operation of a field in the Barents Sea gives NorSea Group and the supplier industry in general the possibility for long-term investments, both in competence development and recruitment.”
Norwegian consulting company Agenda Kaupang has estimated the project will create 30-45 new supply base-related jobs.
Holmgren added: “This confirms our own experience when Eni Norway chose Polarbase as its supply base site for Goliat. Start-up will give vital stability for us, our employees and our partners. With both Goliat and Johan Castberg in operation, we will have two offshore installations in the Barents Sea – which is something we see as extremely positive.”