Oslo-listed offshore installation giant Subsea 7 will be responsible for the delivery and installation of subsea pipelines and umbilicals at Aker BP's recently sanctioned Hod field development project, in the North Sea offshore Norway.
Aker BP has earlier this month filed the plan for development and operation (PDO) of the Hod offshore field to the Norwegian Ministry of Petroleum and Energy.
The Hod field will be developed using a normally unmanned installation remotely controlled from the Valhall field center, with low CO2 emissions due to power from shore. Total investments for the development are estimated at around USD 600 million.
Subsea 7 said Tuesday it had won a sizeable contract - meaning worth between USD 50 million and - for the engineering, procurement, construction and installation (EPCI) of pipelines, umbilicals and tie-ins for the North Sea project.
The contractor further said that the production pipeline is a pipe-in-pipe design and will include the world's first application of mechanically lined
pipe based on GluBi® technology from BUTTING.
GluBi is a glue-bonded, mechanically lined product, developed by BUTTING, that can be installed by the reel-lay process without using inner
pressure or increasing the wall thickness of the corrosion-resistant alloy (CRA) liner, resulting in reduced spooling times and efficient installation.
Project management and engineering will start immediately at Subsea 7's offices in Stavanger, Norway. Fabrication of the pipelines will take place at Subsea 7's spoolbase at Vigra, Norway and offshore operations will take place in 2020 and 2021.
The Hod production start is planned for the first quarter of 2022.
Recoverable reserves for Hod are estimated at around 40 million barrels of oil equivalents. Aker BP is the operator with 90 percent ownership interest. Pandion Energy is a partner with 10 percent interest.