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This is the second project for the Fixed Facilities Alliance, which was established in the spring of 2017.
Hod B has been an important project that was initiated only hours after the temporary changes to the tax system for the oil and gas industry received a broad majority in the Storting in June last year. The project prefabrication started at the yard in Verdal just hours after the agreement was made and has meant a lot to activity and jobs.
The project is the second project delivered by Aker BP’s alliance for delivery of fixed platforms. The customer Aker BP and the main suppliers Aker Solutions and ABB have worked in a joint organization, thereby reducing a lot of time and costs compared to a traditional model where the customer and supplier have separate roles and responsibilities.
The Hod development has utilized the experience from the wellhead platform for the Valhall Flank West project, which was delivered in the summer of 2019. Valhall Flank West was the first wellhead platform delivered through the alliance. Upon delivery, this platform set a new standard for how complete a facility can be before installation on the field. Hod B, which is an approximate copy of Valhall Flank West, has given us opportunities to optimize our implementation model through reuse of personnel, facilities, and equipment. It has been delivered at considerably lower cost compared to Valhall Flank West.
“I am proud to state that in close cooperation with the alliance partners, we have reached all milestones and project objectives. Today, just 14 months after the first steel plates were cut, the topside is ready for transport to the field exactly as agreed. Together, we have developed new solutions and implemented a number of improvements for safety, productivity and reduced cost level in the project. This further increases our competitiveness, and makes us even more attractive to future clients,” said Sturla Magnus, executive vice president and head of Aker Solutions' topside and facilities business.
The Alliance delivery includes design, procurement, fabrication, preparation for sea transport, as well as hook-up and assistance for completion on the field. The 2,000-metric-tons topside will be installed on the steel jacket delivered from Aker Solutions’ yard in June. The delivery has been executed without serious harm to people or the environment.
Upon signing on June 9, 2020, the contract had a value for Aker Solutions of just under NOK 1 billion. At its peak, around 550 people from Aker Solutions, the alliance and subcontractors have worked on the project. In addition, more than 50 of our apprentices have completed much of their vocational training on the Hod project.
“Through projects like Hod, we create value for ourselves, partners, alliance partners, owners, and Norwegian society. We also contribute to maintaining a world-leading supplier industry. It makes me particularly proud that through the Hod project Aker BP has contributed to the vocational training of 50 apprentices. The apprentices and the industry have a competence that is necessary for the Green Deal. I am impressed with the alliance team for another solid delivery. You demonstrate that the alliance model is the key to delivering profitable projects in a demanding market going forward,” said Karl Johnny Hersvik, chief executive officer of Aker BP.
Aker Solutions delivers integrated solutions, products and services to the global energy industry. We enable low-carbon oil and gas production and develop renewable solutions to meet future energy needs. By combining innovative digital solutions and predictable project execution we accelerate the transition to sustainable energy production. Aker Solutions employs approximately 15,000 people in more than 20 countries.
This press release may include forward-looking information or statements and is subject to our disclaimer, see https://akersolutions.com