Watch: This Is Why Biden’s $2 Trillion Infrastructure Plan Will Fail
In the United States, we have a problem that’s so BIG and obvious that even Elon Musk can’t see it. Our highways are broken, our streets are clogged with traffic,...
In the southern part of the Norwegian sector of the North Sea in 110 meters of water is the Johan Sverdrup field, one of the largest discoveries ever made on the Norwegian continental shelf.
Statoil, the field operator, estimates 1.8-2.9 billion barrels of oil exist there, and the company plans to recover upwards of 70 percent of that oil over a 50 year period with a peak production of around 550,000 – 650,000 barrels per day.
Putting that in perspective, that’s more than twice the production rate of BP’s Thunderhorse production platform in the U.S. Gulf of Mexico and would be enough to supply the entire feedstock needs of the Port Arthur refinery complex if they were co-located.
To gain this sort of production rate however, Statoil will start by installing four huge steel platforms to support the production risers as well as the drilling platform, accommodation platform and processing platform. The NOK 2 billion contract for the delivery of the steel substructure was signed today between Statoil and Kvaerner, a deal anticipated since the signing of a letter of intent in June 2014.
“Johan Sverdrup is the largest industrial project in Norway for decades. Hence, it will provide a wide range of important contract opportunities for the entire industry for many years ahead. This is an important contribution to bridging a period when the sector experiences reduced activity level for other projects,” commented Jan Arve Haugan, Kvaerner’s President & CEO.
Kvaerner says the riser platform is scheduled to be delivered in the summer of 2017, production startup is planned for the end of 2019.
Join the 67,356 members that receive our newsletter.
Have a news tip? Let us know.