Aker, Det norske, Subsea 7 in oil alliance

Article by Staff Writer

AKER SOLUTIONS, Det norske oljeselskap and Subsea 7 have formed a development alliance that will see them work together on offshore oil projects in Norway.

The three companies say that the alliance will benefit from their specific expertise – Aker’s in front end engineering, brownfield modifications and subsea systems; Subsea 7's in the engineering, procurement, installation and commissioning of subsea umbilicals, risers and flowlines (SURF); and Det norske’s in exploration and production.

The companies will work closely together to form an integrated project management team. They say this will give continuity and allow them to reuse solutions and technologies from one field to the next, lowering costs and reducing development time. Developments are generally managed on a project-by-project basis, and reuse of solutions is not common. The three companies will equally share risks and rewards.

“Our industry needs to find new, more sustainable ways of working on oil and gas developments,” said Det norske CEO Karl Johnny Hersvik. “This alliance enables a holistic approach to our subsea developments that will promote an effective reuse of solutions and best practices across the portfolio to significantly save time and reduce costs.”

The alliance agreement follows on from Det norske’s four-year framework agreement with Aker Solutions, announced in June, for the provision of subsea production systems and services, and another with Subsea 7 for SURF services.

Experts believe that in the midst of low oil prices, the industry will need to change to survive. Samir Brikho, CEO of Amec Foster Wheeler, writing in The Chemical Engineer in May 2015, advocated new models of working together to lower costs and raise efficiency.

Article by Staff Writer

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