Aibel wins electrification project at Kårstø

Aibel has been awarded a FEED (Front-End Engineering and Design) contract by Equinor, on behalf of operator Gassco and owner Gassled, for the Kårstø Electrification Project (KELP).

Karsto facility oyvind saetre
Photo: Øyvind Sætre/Aibel

A partial electrification of the Kårstø plant is planned, and Aibel will carry out a pre-project including detail planning of a comprehensive redevelopment and electrification of parts of the plant. The planned work includes construction of a new substation and replacement of gas-powered compressors.

The estimated value of the FEED contract is approx. NOK 130 million and will have an average staffing of around 85 employees. Project management and engineering will be carried out at Aibel's offices in Haugesund. The pre-project has immediate start-up and is due to be completed in September 2022.

The contract also includes two options, where one comprises a EPCI turnkey delivery of the complete implementation scope. This is scheduled to be decided at the turn of the year 2022/23, and if the option is exercised, this may result in a contract of major size* for Aibel. The implementation of the project will at its peak employ about 600 people.

"This award confirms Aibel's leading position within electrification of Norwegian offshore and onshore oil and gas infrastructure. We are proud to contribute to reducing future emissions in line with industry ambitions," says President and CEO Mads Andersen.

*Aibel uses the term "major size" on contracts where the value of Aibel is higher than NOK 2.5 billion.