The proposed first phase of CapeOmega and BKK's Serene project off Norway is to include a hub at state-controlled Equinor’s Oseberg field centre area, where power will be converted from direct current (DC) to alternating current (AC) and distributed to the Oseberg platforms, Wintershall Dea’s Brage platform and Equinor’s Troll B and C platforms.

BKK chief executive Jannicke Hilland, who has previously worked as platform chief at Troll and held several key positions in Equinor, said the project must be matured further in close cooperation with the operators. Concept selection is planned for summer 2020.

(Read more about BKK and CapeOmega's plans here in this Upstream exclusive.)

Equinor has already come far with a project aimed at supplying Troll B and C with power from shore, but Statnett, the operator of the grid in central Norway, has been reluctant to approve its plan due to capacity tightness in the Bergen area.

Hilland said it was important to start the application process now for the grid project because different licences have already initiated individual power-from-shore projects. Project costs for phase one are estimated at Nkr11 billion ($1.2 billion).

The proposed phase two could involve an extension south from Oseberg to one hub in the area of Equinor’s Krafla and Askja discoveries and another at Aker BP’s planned processing platform in the Fulla area.

This extension could also involve several new field developments, including North of Alvheim-Krafla-Askja (Noaka), where final development concepts are still undecided due to a dispute between Equinor and Aker BP. Project costs for phase two are estimated at Nkr7 billion.

To the North, Serene could be extended to a hub in the Tampen area. Several existing fields such as Snorre, Gullfaks — where 30% of electricity is already planned to be provided by offshore wind power — Visund and Kvitebjorn could then be reached, as well as Equinor’s planned unmanned platform at its Peon discovery.

The third phase, meaning full electrification, could also strengthen redundancy in the project via a new power cable to another onshore site. Its cost is estimated at Nkr8 billion.

CapeOmega chief executive Gisle Eriksen argued that an offshore power grid would provide an opportunity for smaller fields and those at the end of their lifetime to receive power from shore.

“Emissions tend to rise at ageing fields but they do not have the economic capacity to invest in power from shore. A grid will also enable fields like this to receive clean power, ” he said.

Field Development

Oseberg first step for BKK and CapeOmega's Serene scheme