Akastor in $370M well intervention services LOI with Equinor
- Business & Finance
Akastor’s subsidiary AKOFS Offshore has signed a letter of intent with Equinor (formerly known as Statoil), for the provision of year-round light well intervention services (LWI) offshore Norway.
Under the letter of intent, the contract period is for five years, with an option period of three years. Contract award is subject to partner approval and final agreement on terms and conditions.
The contract value for the initial five-year period is approximately $370 million. The work is scheduled to start in the first half of 2020 and will be performed from the AKOFS Seafarer well intervention vessel which is owned and operated by AKOFS Offshore.
The vessel and its intervention system will undergo necessary modifications and upgrades as part of preparations for the contract.
Geir Sjøberg, CEO of AKOFS Offshore said.”This is an important milestone for the company as we increase our operating envelope to include the Norwegian continental shelf. Equinor is a key operator of subsea wells and has been pioneering the use of subsea intervention technology. Building on experience from Norway and international operations including Brazil, AKOFS Offshore together with our partners DeepWell and Welltec, acting as subcontractors, are proud of the confidence shown by Equinor.”