Aker BP ASA has signed Multiconsult Norge AS to a civil engineering contract for the electrification of the Yggdrasil area oil and gas project on the Norwegian side of the North Sea, with construction for the power-from-shore project expected to start this month.
The independent exploration and production company has already started construction for the main Yggdrasil development, which contains several discoveries and holds around 650 million barrels of oil equivalent according to Aker BP. The company expects to start production 2027.
The approximately $36.49 million (NOK 400 million) contract for Multiconsult, valid through 2027, also includes consultancy and supervision services “related to the preparation and follow up of the power license, such as environmental assessments, dialogue with authorities, necessary applications and site work”, Aker BP said in a press release Monday. Aker BP expects to begin onshore construction for the power project this month.
It said it had received March 31 the license to connect the platforms in the Yggdrasil area to the Vestland country power grid. In June Aker BP received parliamentary approval for the Yggdrasil and the Valhall field extension projects, which collectively have about 1.07 billion barrels of oil equivalent in combined reserves. The greenlight paves the way for final approval by the Petroleum and Energy Ministry, the company announced June 5.
“The power from shore system will provide a stable and secure power supply to Yggdrasil, with low emissions”, Fornebu, Norway-based Aker BP said.
The electrification project stretches 4.97 miles (eight kilometers) of power lines according to Aker BP. “The concept includes a new transformer station at Bordalen in Samnanger, a new 11-kilometre [6.84 miles] 145 kV [kilovolts] powerline in Samnanger, a compensation station at Arskog in Fitjar and a 250-kilometre [155.34 miles] 145 kV sea cable from Samnanger to the Yggdrasil area in the North Sea”, it said.
Tormod Huseby, manager of the power-from-shore project, noted Multiconsult “has already contributed to the power from shore project in Yggdrasil for several years and has delivered high quality over time”.
Earlier Aker BP said it had awarded “the final major civil construction partner for the Yggdrasil power from shore delivery line” to LinjePartner AS. LinjePartner has been tapped for the delivery of overhead lines in a contract worth $9.12 million (NOK 100 million), Aker BP said in a news release June 27.
For the Yggdrasil oil and gas development itself, construction rights have been given to Aker Solutions ASA, while “more than 200 supplier companies in Norway are making direct contributions to the developments”, Aker BP said in a media release September 4.
“Yggdrasil is expected to contribute with 65.000 man-years in Norway in the development and operational phase”, Monday’s announcement said. “The Norwegian share of the investments is over 65 percent”. Total investments in the Yggdrasil development are estimated to be $10.49 billion (NOK 115 billion), according to information on Aker BP’s website.
Yggdrasil contains the Ost Frigg Beta/Epsilon wildcat well, a discovery that turned out to be the Nordic country’s longest-ever exploration well, according to an Aker BP press release announcing the completion of drilling June 9. “When the Ost Frigg Beta/Epsilon wildcat well reached its target depth, the team had drilled 8168 meters [26,797.9 feet]. As it made its way horizontally through the reservoir, the value of Yggdrasil increased meter by meter − in what is Norway’s longest ever exploration well”, the company said.
Aker BP has raised the discovery’s expected reserves to 53-90 million barrels of oil equivalent (MMboe) after the drilling. It initially posted 40-90 MMboe in recoverable volume when it announced the discovery May 25.
Yggdrasil is one of multiple Aker BP projects in the North Sea that commenced construction last month. The others are the Skarv Satellite Project and the Valhall field extension project, according to company announcements.
Consisting of the Alve Nord, Idun Nord and Orn fields, the Skarv Satellite Project is “the largest development in the Norwegian Sea in recent years”, the company said in a news release August 29 announcing the start of construction.
The project prolongs production on the Skarv field, put onstream over 10 years ago, according to Aker BP. The satellite project is planned to start producing in the third quarter of 2027 with an expected recovery of 120 MMboe, mainly gas.
The Valhall extension project meanwhile targets an estimated 137 MMboe and includes connecting the Fenris field to Valhall by a bridge, according to the project’s description on Aker BP’s website.
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