Equinor and the Troll partners exercise an option in relation to Aker Solutions AS for the delivery of a new processing module for the Troll Phase 3 project. The contract value is NOK 1 billion.
“Troll has generated great value and substantial spin-offs in Norway. The Troll Phase 3 project involves a highly profitable, carbon-efficient further development of the Troll field in accordance with Equinor’s strategy for creating substantial value with a low carbon footprint,” says head of project development in Equinor, Torger Rød.
With a CO2 intensity of 0.1 kg/boe the project is one of the most carbon-efficient projects on the Norwegian continental shelf (NCS). The project realises 2.2 billion barrels of oil equivalent, with a break-even of less than USD 10 per barrel.
The contract is an EPCI contract, covering engineering, procurement, construction and installation of a new processing module on the Troll A platform. The contract is awarded through the exercise of an option in Aker Solutions’ contract for front-end engineering (FEED) awarded in September 2017.
“By exercising this option, we aim to ensure continuity from pre-engineering to the execution phase of the project. The new processing module is an important part of the Troll Phase 3 project, and safe, high-quality completion of the module is essential to the project,” says Bjørn Laastad, project director for Troll Phase 3.
The 1200-tonne processing module will be built at the Aker Solutions yard in Egersund, whereas the engineering work will be performed in Bergen. The project will generate some 900 man-years of employment over a three-year period. The module will be installed on the Troll A platform in the summer of 2020. The Troll phase 3 project is scheduled to come on stream in 2021.
The Troll field is the most prolific field on the NCS, and even after 20 years of production less than half of the reserves have been produced.
Equinor and the partnership plan to make a final investment decision and submit the plan for development and production (PDO) for Troll Phase 3 in the third quarter of 2018.
The final contract award is subject to Troll partnership’s investment decision and government approval of Troll Phase 3.