TechnipFMC lands $187 million worth of new jobs with Equinor

Equinor has awarded two contracts and issued a letter of intent to TechnipFMC for pipelaying and subsea installation for three projects on the Norwegian continental shelf (NCS).

The projects in scope are Breidablikk and the Gas Import System for the Snorre Expansion Project, for which contracts have been awarded.

Furthermore, a letter of intent has been issued for the Askeladd Vest project, Equinor said on Tuesday.

Equinor added that the Breidablikk contract has a subsea installation as an option.

The total value of the three assignments, including the option, is about NOK 1.8 billion ($186.9Mn).

Peggy Krantz-Underland, Equinor’s chief procurement officer, said: “Giving three assignments to the same supplier enables efficiency gains and cost savings. It will also allow for a coordinated follow-up of the total delivery during the implementation phase. This creates value for all parties”.

The scope of the assignments includes fabrication and laying of pipelines, installation of subsea structures, control cables and hook-up and testing of systems.

The offshore operations under the contracts are planned to be carried out during 2021-2023.

According to Equinor, the awards contribute to sustaining important workplaces for TechnipFMC in Norway, including the Orkanger spoolbase, where the pipelines will be fabricated before they are reeled onto the installation vessel.

The awards are also expected to generate additional work through further sub-contracting to other companies.

“It will help sustain jobs in the supply industry and further develop the important competence the industry has built up”, said Krantz-Underland.

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

The letter of intent for Askeladd Vest is subject to a final investment decision.