Subsea7 Secures Contract for Northern Lights Phase 2 Project
Offshore energy services firm Subsea7 has recently announced a significant contract with Equinor to serve as a technical service provider (TSP) for the Northern Lights Phase 2 carbon capture and storage (CCS) project, located offshore Norway.
The scope of Subsea7’s involvement in the project includes engineering, procurement, construction, and installation of a five-kilometer CO2 pipeline, along with the installation of integrated satellite structures, umbilicals, tie-in, and pre-commissioning activities. The contract, deemed ‘sizeable’ by Subsea7, is valued between $50 million and $150 million.
Project management and engineering activities are set to commence immediately at Subsea7’s office in Stavanger, Norway. The fabrication of the pipeline will take place at Subsea7’s spoolbase in Vigra, Norway, with offshore operations scheduled for 2026 and 2027.
Erik Femsteinevik, Vice President for Subsea7 Norway, expressed enthusiasm about the continued collaboration with Equinor TSP and the Northern Lights project owners, Equinor, Shell, and TotalEnergies, for phase 2 of this groundbreaking initiative. The goal is to enhance the development’s carbon storage capacity to a minimum of five million tonnes per year and contribute to the establishment of a new value chain for Norway and Europe.
The Northern Lights Phase 2 project has received support from the Connecting Europe Facility for Energy (CEF Energy) funding scheme. Earlier this year, Equinor, Shell, and TotalEnergies made a joint decision to invest $712 million in advancing phase two of the Northern Lights CCS development.
Phase 2 of the project aims to expand the total injection capacity from 1.5 million tonnes of CO2 per year to at least 5 million tonnes per year. This expansion involves enhancing existing onshore and offshore infrastructure, including additional onshore storage tanks, a new jetty, and additional injection wells.
Subsea7’s involvement in the Northern Lights Phase 2 project underscores its commitment to supporting sustainable energy initiatives and advancing carbon capture and storage technologies for a cleaner future.