The Ministry of Petroleum and Energy has approved Equinor’s (NYSE: EQNR) plan for development and operation for the Snorre Expansion Project, the company said July 5.
Investments of just above NOK 19 billion (US$2.3 billion) will increase recovery from the Snorre field by almost 200 million barrels and extend the field life beyond 2040.
Snorre Expansion project is the largest project for improved recovery on the Norwegian continental shelf and provides valuable production and activity benefitting Equinor, partners and society. The project involves a comprehensive subsea development, upgrading of the Snorre A installation, increased gas injection and gas import for injection.
“Equinor has worked closely with partners and suppliers to realize the development. I am pleased that the plan for development and operation has been approved,” Margareth Øvrum, Equinor’s executive vice president for technology, projects and drilling, said.
The Snorre field was originally estimated to produce until 2011–2014. Now the field life has been extended beyond 2040, and the recovery rate increases from 46% to 51%.
Scheduled to start production in 2021, the Snorre Expansion project will be operated and maintained by the existing Snorre organization in Stavanger. Supplies will still be handled by Fjordbase in Florø.
Equinor estimates that around 80% of the investments, which are just above NOK 19 billion, will include Norwegian companies. Based on analyses made by Agenda Kaupang approximately 23,000 man-years will be carried out in Norway in the project phase.
Subject to final regulatory approval, the partners have awarded contracts for the subsea production system to TechnipFMC, fabrication and installation of the pipeline bundle system to Subsea 7, Snorre A modifications to Aibel, drilling and well operations to Transocean and marine installations to Deep Ocean.
“The project will provide jobs in many places along the Norwegian coast and operation of the Snorre field for 25 more years,” Arne Sigve Nylund, Equinor’s executive vice president for development and production Norway, said.
Recommended Reading
Sapura Acquires Exail Rovins’ Nano Inertial Navigation System
2024-02-01 - Exail Rovins’ Nano Inertial Navigation System is designed to enhance Sapura’s subsea installment capabilities.
Subsea Tieback Round-Up, 2026 and Beyond
2024-02-13 - The second in a two-part series, this report on subsea tiebacks looks at some of the projects around the world scheduled to come online in 2026 or later.
2023-2025 Subsea Tieback Round-Up
2024-02-06 - Here's a look at subsea tieback projects across the globe. The first in a two-part series, this report highlights some of the subsea tiebacks scheduled to be online by 2025.
Tech Trends: AI Increasing Data Center Demand for Energy
2024-04-16 - In this month’s Tech Trends, new technologies equipped with artificial intelligence take the forefront, as they assist with safety and seismic fault detection. Also, independent contractor Stena Drilling begins upgrades for their Evolution drillship.