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Equinor to partially electrify Sleipner field centre

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Oilfield Technology,

Equinor and partners Vår Energi, LOTOS and KUFPEC have made an investment decision to partly electrify the Sleipner field. The partners are submitting a revised plan for development and operation to the authorities.

Equinor to partially electrify Sleipner field centre

The solution for the Sleipner field centre will entail laying a new power cable from Sleipner to the Gina Krog platform, which will be tied into the area solution for power from shore on the Utsira High. During periods when the power need is greater than the capacity in the area solution, Sleipner will use gas turbines, like they do today, to cover the power need.

Emissions savings from all the fields connected to the area solution on the Utsira High are estimated at an average 1.15 million tpy of CO2. Sleipner’s share of this reduction is expected to be more than 150 000 tpy of CO2. The Business Sector’s NOx Fund will contribute up to NOK430 million to realise partial electrification of the Sleipner field centre and the associated fields.

Aibel was awarded a FEED contract in October 2019 to electrify Sleipner. This contract has now been expanded to an EPCIC contract.

The EPCIC contract is valued at around NOK400 million and will yield about 170 man-years distributed over 2 years at Aibel’s office in Stavanger and at the yard in Haugesund. Equipment purchases from subcontractors are also expected to amount to around NOK150 million. The contract is contingent on the authorities’ final approval of the amended plan for development and operation.

An investment decision has also been made for electrification of Gina Krog. This was a requirement from the authorities in connection with approval of the field’s plan for development and operation. The EPCIC contract to complete the work of electrifying Gina Krog has also been awarded to Aibel. The value of the contract is around NOK160 million, and it will result in approximately 60 man-years distributed over 1.5 years.

To enable electrification of the Sleipner field, a 28-km high voltage cable must be laid between Gina Krog and Sleipner. Gina Krog will be connected to Johan Sverdrup by a 62-km high voltage cable. The contract for production and laying of cables has been awarded to the cable supplier NKT. NKT has already performed the work of laying the cable from Johan Sverdrup to the Gina Krog field.

Sleipner power from shore investment will be around NOK850 million and Gina Krog NOK640 million. The plan is to connect Sleipner and Gina Krog to the power from shore area solution to the Utsira High by the end of 2022.

“Today, we are pleased to submit development plans for Sleipner electrification that will provide both ripple effects and major new emission cuts on the Norwegian continental shelf. This investment will contribute to further develop the NCS toward the goal of zero greenhouse gas emissions in 2050, said Anders Opedal, Equinor’s Executive Vice President for Technology, Projects and Drilling.

“Yesterday’s gratifying news that broad political agreement has been reached on temporary adjustments in the petroleum tax will provide the industry with the predictability it needs to continue work on planned projects that will stimulate new investments and maintain activity in a challenging period,” added Opedal.

Image courtesy of Equinor

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