On behalf of the Johan Sverdrup license, Equinor is awarding the contract for subsea pipelines and associated marine operations in the second project phase to Subsea 7. This will increase the share of contracts awarded to Norwegian suppliers in phase 2 of the Johan Sverdrup project to 85%.
The first phase of the Johan Sverdrup development is nearly 90% completed, with expected production start in November. In phase 1, Subsea 7 was responsible for the delivery and installation of several subsea components and tie-in of pipelines at the field.
In the second project phase, Subsea 7 is awarded the contract for delivery and installation of around 100 km of infield pipelines and 25 spools, installation of umbilicals and marine operations associated with the subsea scope. Subsea 7 describes the value of the contract as “substantial”, defined to be in the range of USD 150-300M.
Johan Sverdrup is regarded as Norway’s biggest industrial project in modern history. The Agenda Kaupang consulting company estimates that the Johan Sverdrup project may provide more than 150,000 man-years in Norway in the development period 2015-2025.
Phase 2 of the Johan Sverdrup development was approved by Norwegian authorities in May 2019. Start-up of phase 2 is scheduled for the fourth quarter of 2022. The Johan Sverdrup licensees are Equinor (operator), Lundin Norway, Petoro, Aker BP and Total.
