Equinor awards $80m Johan Sverdrup contract to Kaefer Energy

Umar Ali 21 May 2019 (Last Updated May 21st, 2019 11:36)

Equinor has awarded an insulation, scaffolding and surface treatment (ISO) contract for the Johan Sverdrup field to Kaefer Energy.

Equinor awards $80m Johan Sverdrup contract to Kaefer Energy
The Johan Sverdrup field is one of the largest discoveries in the Norwegian Continental Shelf. Credit: Equinor.

Norwegian energy company Equinor has awarded an insulation, scaffolding and surface treatment (ISO) contract for the Johan Sverdrup field in the Norwegian North Sea to insulation and engineering specialist Kaefer Energy.

The contract has an estimated value of more than $80m (Nkr700m) and includes ordinary operations and maintenance work, and work on the second phase of the Johan Sverdrup project.

Located offshore Stavanger, the Johan Sverdrup field is one of the largest discoveries in the Norwegian Continental Shelf (NCS). The field consists of the Avaldsnes and Aldous discoveries, located on the PL501 and PL265 licences respectively.

Johan Sverdrup has expected resources of 2.1 billion to 3.1 billion barrels of oil equivalent (BBoe), with first production expected in late 2019.

Equinor senior vice-president for NCS operations technology Kjetil Hove said: “The ISO disciplines contribute to safer and more efficient operations on our facilities. We look forward to working with Kaefer in the operations phase when the field is scheduled to come on stream in November.

“Johan Sverdrup will remain on stream for several decades, and the ISO work will be essential to supporting the long-term production horizon.”

According to Equinor, Kaefer Energy was selected as an ISO supplier based on its competitiveness, as well as ‘high-quality performance’ under existing framework agreements with Equinor on the Johan Sverdrup project.

Equinor chief procurement officer Peggy Krantz-Underland said: “The Johan Sverdrup field is an achievement many people can take pride in. Not least the almost thousand suppliers contributing to safe and efficient development. We aim at predictability in our interaction with the suppliers.

“Lasting through 2030 the framework agreement facilitates this. In addition, the Johan Sverdrup field is a flagship for digitalisation and new technical solutions. We look forward to collaborating on this also within the ISO disciplines.”