Subsea 7 S.A. (Oslo Børs: SUBC, ADR: SUBCY) Friday announced the award of two contracts from alliance partner Aker BP in the Norwegian North Sea. The contracts are for the Skogul project and the Valhall Flank West project, which collectively are equivalent to a sizeable(1) award.

Subsea 7 awarded contracts offshore Norway
Caption: Pipe Layer Seven Arctic - Image courtesy of Subsea 7

The Skogul project (previously called Storklakken) is located 220 km northwest of Stavanger. This EPCI project is a long-distance tie-back to Alvheim FPSO via Vilje South field, using pipe-in-pipe technology. Project management and engineering will commence immediately with offshore operations scheduled in 2019.

The Valhall Flank West EPCI project comprises a 4 km tie-back to the Valhall Centre including an umbilical and riser system. Offshore operations will commence in 2018 with completion in 2019.

Phil Simons, Vice President North Sea & Canada, said: “Our partnership with Aker BP enables Subsea 7 to engage earlier in field development, optimising design solutions and contributing to final investment decisions on marginal fields. These two contract awards demonstrate our successful way of working within the alliance partnership, providing cost effective and innovative technical solutions, along with an efficient, safe and quality focused project delivery."

(1) Subsea 7 defines a sizeable contract as being between USD 50 million and USD 150 million.

Source: Subsea 7