Aker Solutions Bags $483MM Johan Castberg Deal

Aker Solutions Bags $483MM Johan Castberg Deal
Aker Solutions secure services contract with Statoil worth around $483 million (NOK 4 billion).

Aker Solutions has secured a services contract with Statoil ASA worth around $483 million (NOK 4 billion), which will support the Norwegian oil and gas firm with the development of the largest oil discovery in the Norwegian Barents Sea; Johan Castberg.

As part of the deal Aker will supply the subsea production system and design the topside of the floating production, storage and offloading (FPSO) facility, which will be the largest-ever of its kind offshore Norway.

Aker has been directly involved in the Johan Castberg development since its earliest phase, providing concept studies and front-end engineering design.

"Our early involvement and strong collaboration with Statoil have helped halve the development costs, enabling this strategically important project to move forward," Aker Solutions Chief Executive Officer Luis Araujo said in a company statement.

"The field is critical in further developing northern Norway as an oil and gas region,” he added.

The subsea production system will consist of 30 wells with vertical subsea trees, wellheads, control systems, 10 templates and manifolds, two satellite structures and tooling.

Work on the system will start this month and involve facilities in Norway, the UK, India, Malaysia and Brazil. Initial deliveries are scheduled for the second quarter of 2019 with final delivery in the first half of 2023.

Engineering, procurement and management assistance for the detailed design of the Johan Castberg topside will also be conducted. This work has already started and will be carried out by Aker Solutions in Norway and India. The detailed design is set to be completed in 2019.


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