The next two large offshore development projects to be built on the Norwegian Continental Shelf —Yggdrasil and Valhall PWP-Fenris — entered the construction phase today.
The milestone was celebrated by cutting the very first steel plates for Hugin A and Valhall PWP at Aker Solutions’ Stord yard.
“These projects contribute high value creation and extensive ripple effects across the entire industry. Aker Solutions will have recruited more than 2,000 new colleagues in Norway, in addition to 100 new apprentices every year, going forward,” said Sturla Magnus, executive vice president, New Build, for Aker Solutions.
Aker Solutions and alliance partners on 16 December 2022 signed contracts with Aker BP worth a total value for Aker Solutions of close to NOK 50 billion, which was the company’s highest ever quarterly order intake.
A large part of the scope is four new offshore platforms including steel jackets. The two largest — Hugin A and Valhall PWP — will be assembled and delivered from Aker Solutions yard at Stord. The work will be done together with Aker BP, Siemens Energy and ABB in the fixed alliance facilities. Cutting the first steel plates for Hugin A and Valhall PWP marked an important milestone for these major projects. Aker BP’s project director for Hugin A, Håkon Skofteland, and project director for Valhall PWP-Fenris, Rannveig Storebø, had the honor of pressing the start button, under supervision of Aker Solutions apprentices, Denise Åkerøy and Tor Litlabø.
“This day is important not only for Aker BP, Aker Solutions, license partners and strategic partners, but for the entire supplier industry. After years of engineering and preparations, we are now entering the construction phase. These projects will involve hundreds of suppliers and provide large ripple effects in the form of revenue and jobs in local communities throughout large parts of Norway”, said Magnus.
Hugin A is a part of the Yggdrasil development and consists of a 28-tonne production platform and a 20,500 tonne steel jacket that will be delivered from Aker Solutions yard in Verdal. In addition to Stord and Verdal, Aker Solutions’ yards in Egersund and Sandnessjøen will build modules, while Leirvik AS will deliver the living quarters. Hugin A will be the largest topside ever assembled in the Stord yard area.
Valhall PWP is a 16,000-tonne production platform for the Valhall field that will be assembled at Stord. The 9,500 tonne steel jacket will be delivered from Verdal. In addition, Sandnessjøen, Worley Rosenberg and Nymo in Arendal will contribute to the construction work.
The field developments also include the two unmanned platforms Hugin B and Fenris, which will be delivered from Verdal, while Aibel deliver the topside for Munin.
Aker Solutions also has considerable subsea and modification deliveries to the Yggdrasil and Valhall PWP-Fenris fields.
The projects provide activities and revenue that are important for the further development of the industry in the years to come. The majority of Aker Solutions 9,000 employees at the company’s 14 Norwegian locations will work on the execution of these and other projects that have come as a result of a stimulus program adopted by the Norwegian parliament in 2020.
“In the transition to an industrial future of more renewable energy projects, these large installations give Aker Solutions the opportunity to plan long-term. Through a series of upgrades of our yards and facilities, extensive competence-building measures and considerable investments in digitalization, robotization and other technology, we improve our efficiency in the execution of these projects and strengthen our competitiveness. This will also provide a solid foundation, as we gradually increase our activity aimed at renewable energy markets, said Magnus.
Including the knock-on effects to suppliers and surrounding communities, Aker Solutions’ enterprise in the area contributes to thousands of jobs. Projects won by Aker Solutions as a result of the stimulus package will allow for the recruitment of more than 2,000 new colleagues in Norway, as well as 100 apprentices a year, going forward.