Norway-based firm Nymo will build advanced equipment for a new platform on the Aker BP-operated Valhall field in the North Sea, off Norway.
According to Aker BP, the scope of work ensures high activity, triples the number of apprentices and ensures full employment for several years to come for the offshore company based in the very south of Norway.
On Tuesday, 15 August, Aker BP CEO Karl Johnny Hersvik and Project Director Valhall PWP-Fenris in Aker BP Rannveig Storebø will cut the first steel for the appr. 1,000 tonnes modules to be built at Nymo.
The module will treat MEG (monoethylene glycol) that is recycled in pipelines between the new PWP platform that will be deployed on the Valhall field and the Fenris field 50 kilometers away to avoid the formation of hydrates in the pipes. NOV is the primary supplier and has signed a letter of intent with Nymo to build the MEG module in Grimstad.
In addition, Nymo has been awarded a contract to construct the bridge that will connect the new Valhall PWP platform with the existing Valhall field center.
The bridge will be more than 100 meters long with a weight of around 1,200 tonnes and will be built at Nymo's facility at Eydehavn in Arendal. This contract has been awarded by Aker Solutions.
The number of apprentices grows
The steel cutting at the workshop in Grimstad kicks off the start of a busy period and full employment for the company's 200 employees.
"In addition to guaranteeing work for current employees, the contract also provides recruitment opportunities. In connection with this, we're now increasing the number of apprentices we employ from 7 to 20," says Nymo general manager Øyvind Riiber Boye.
"Nymo will also be engaging a significant number of operators through local subcontractors. A high activity level at Nymo will also have a very important indirect impact on businesses in the region," Boye says.
Nymo has primarily been a supplier for the oil and gas market, while also working in parallel to position itself for the energy transition. Along with its technology partners, the company is involved in developing solutions for floating offshore wind and underwater hydrogen storage.
"It's expensive to develop for new markets, and it takes a long time before these efforts result in profitable projects. This is why the Valhall PWP project is crucial in a transition phase, enabling Nymo to maintain its capacity and expertise while it matures these new solutions," Boye says.
Considerable ripple effects
"We're proud that this project is securing jobs, an increased number of apprentices and good value creation in the region. We're looking forward to cooperating with Nymo and NOV for these deliveries," says Project Director Valhall PWP-Fenris in Aker BP Rannveig Storebø.
Valhall PWP-Fenris
Valhall PWP-Fenris is one of the largest development projects on the Norwegian shelf over the next few years, with investments totaling around 50 billion Norwegian kroner. The Storting (Norwegian parliament) approved the project on June 5, and the the Ministry of Petroleum and Energy on approved it on June 28, 2023.
This joint development includes a new centrally placed production and wellhead platform (PWP), connected by bridge to the Valhall field centre, and an unmanned installation (UI) at Fenris, which is located 50 kilometers away and will be connected to PWP through equipment and pipelines on the seabed. Respective production start-ups are scheduled for the second and third quarters of 2027.
During the construction period, Norwegian content in the development will be more than 65 per cent.
"Development projects like Valhall PWP-Fenris are a direct response to the activity package the Storting adopted three years ago. Its aim was to guarantee activity, protect jobs, develop expertise and refine the industry during a period characterised by a pandemic, record-low oil prices and a sharp decline in investments. Aker BP and its licence partners are now delivering on the politicians' expectations," says Aker BP CEO Karl Johnny Hersvik.