Norway's Aker Solutions signed a letter of intent with Equinor for the delivery of a subsea production system to the Kristin Sor oil and gas satellite fields in the North Sea, the company said on Friday.
The contract value is about NOK 1 billion ($114 million), with options for some additional work.
The intention is to start work in 2021 and to complete the delivery of the production system in the first half of 2023.
"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," said Kjetel Digre, chief executive officer of Aker Solutions.
The high-pressure, high-temperature Kristin gas-condensate field is located in the Norwegian Sea, off the coast of mid-Norway. Operator Equinor and partners Petoro, Var Energi and Total are undertaking the field's development.
The contract award for the Kristin Sor field is subject to a final investment decision and final regulatory approval.
By Murat Temizer