Norwegian offshore oilfield equipment maker Aker Solutions has signed a letter of intent with Equinor to supply a subsea production system to the Kristin Sør oil and gas satellite fields offshore Norway.

The Kristin Sør development comprises the Lavrans and Kristin Q fields, both satellites to the existing Kristin platform.

Under the contract, which is valued at about NOK1bn ($114.3m), Aker Solutions will deliver a subsea template with four of Aker Solutions’ standardized vertical subsea trees for the Lavrans Centre to enable shorter time from project start to first oil.

The scope of the delivery will also include a manifold for the Kristin Q field. It will be installed in the Kristin Q template.

The contract is subject to a final investment decision and final regulatory approval.

Aker Solutions CEO Kjetel Digre said: “With improved technical solutions and cost levels for subsea technology, development of satellite fields is attractive for several oil companies.

“This is also a responsible approach to utilizing marginal resources with a minimum of new installations. We see that an increasing number of our subsea projects are related to such satellite projects.”

Aker to complete delivery in 2023

Aker Solutions plans to commence work in 2021 and complete the delivery in the first half of 2023.

As part of the contract work, the company plans to involve its operations in Tranby, Egersund and Ågotnes in Norway, Curitiba in Brazil, Reading in the UK and Port Klang in Malaysia.

Additionally, the firm will manufacture the subsea trees at the facility in Curitiba.

Digre added: “This award demonstrates that our standardized solutions are competitive and has the flexibility to also be applied on fields with demanding temperature and pressure conditions.

“We have over time cooperated closely with Equinor in the development and optimization of such equipment, and we are pleased to continue this close collaboration in the new Kristin Sør project.”

Aker Solutions said that the standardized tree, which is designed with Vectus control systems and reduced use of steel, will contribute to approximately 50% reduced weight as well as reduced costs, simplified installation, and operations.

In a press statement, Aker Solutions said: “The Kristin Sør concept solution is a result of efficient collaboration with Equinor in the front-end phase in parallel with research and development in the Tranby Technology Center.”

Recently, Aker Solutions secured a contract from Equinor for its Peregrino oil field, offshore Brazil.