Krafla development project : Subsea 7 bags FEED study contract from Equinor
Subsea 7 has bagged a front-end engineering and design (FEED) study contract from Equinor pertaining to the Krafla development project, offshore Norway.
The contract won by the Luxembourgish-domiciled subsea engineering, construction, and services company is for carrying out the FEED for the marine installations associated with the Norwegian oil and gas project.
According to Subsea 7, the awarded work is needed to finalize the technical definition of the proposed Krafla development project before Equinor and its partners take the final investment decision (FID), which is planned later this year.
Subsea 7 bags FEED study contract from Equinor for the Krafla development project. Photo courtesy of SUBSEA 7.
Subsea 7 expects to begin the FEED study of the Krafla development project immediately.
The company said that the value of a possible, subsequent engineering, procurement, construction, and installation (EPCI) contract could be in the range of $300 million and $500 million.
Subsea 7 will carry out project management and engineering work at its offices in Stavanger and Aberdeen. The company said that the offshore installation activities will be slated for 2024, 2025, and 2026.
Commenting on the Krafla development project FEED study contract, Monica Bjørkmann — Subsea 7 Norway Vice President said: “This award continues our long-standing collaboration with Equinor. The study enables Subsea 7 to engage early in the field development process, optimizing design solutions and contributing to the final investment decision.
“We are delighted to be a trusted partner for Krafla field development, and we look forward to working closely with Equinor to successfully deliver our scope with safety and quality at the forefront throughout.”