Aker signs contract to increase production at Åsgard field offshore Norway

5 March 2021 (Last Updated March 5th, 2021 12:13)

Aker Solutions has received a contract from Equinor for modifications on the Åsgard B semi-submersible gas and condensate processing platform in the Norwegian Sea to enable increased production.

Aker signs contract to increase production at Åsgard field offshore Norway
Equinor intend to further develop Åsgard field via the Åsgard B low-pressure project. Credit: Aker Solutions.

Aker Solutions has received a contract from Equinor for modifications on the Åsgard B semi-submersible gas and condensate processing platform in the Norwegian Sea to enable increased production.

The Åsgard B platform is part of the Åsgard field, which includes the Midgard, Smørbukk and Smørbukk South deposits.

The latest contract award follows the decision by the partners in the Åsgard licence to invest Nkr1.4bn ($164.1m) to further develop the Åsgard field and implement the Åsgard B low-pressure project.

Under the Nkr800m ($93.8m) contract, Aker will be responsible for engineering, procurement, construction and installation of new equipment.

Aker plans to immediately commence work, with completion expected in 2024. It will undertake project management and engineering work at its office in Trondheim, as well as prefabrication at the yard in Egersund.

Equinor projects senior vice-president Geir Tungesvik said: “We’re pleased that the Åsgard owners have given their go-ahead for the low-pressure project. The project will increase production from the current Smørbukk wells and contribute to achieve planned production from the field.”

Equinor said that the transition to low-pressure production would improve recovery from the field.

As part of the modification work, the Åsgard B gas-processing platform’s reinjection compressors will be replaced to reduce inlet pressure. It also includes reconstructing parts of the topsides process facility to accommodate high and low-pressure production.

Åsgard operations vice-president Randi Hugdahl said: “We can still produce 400-500 million barrels of oil equivalent from the field. This means value creation in the order of Nkr150bn – Nkr200bn.

“The current recovery rate for the field is almost 50%, but our ambition is to extract 60% of the hydrocarbons in the reservoirs before the field will have to be shut down.”

Equinor plans to commence low-pressure production at the field in 2023.

Equinor operates the Åsgard licence with a 34.57% stake while other partners include Petoro (35.69%), Vår Energi (22.06%), and Total E&P Norge (7.68%).