Equinor Awards Well Services Contracts to Support Production Goals

Equinor has awarded contracts to 18 well services companies, valued at approximately Nkr17 billion ($1.8 billion), to support its objective of maintaining production at around 1.2 million barrels of oil equivalent per day until 2035. These agreements will cover well services required for drilling from fixed installations and mobile rigs offshore Norway and are expected to employ about 2,500 people.

Integrated Drilling and Well Services Agreements

Large global contractors Baker Hughes, Halliburton, and SLB have been awarded one-year contracts for integrated drilling and well services. These services include integrated drilling services, cementing and pumping, drilling and completion fluids, and electrical logging and completion services. The integrated drilling and well services agreements are valued at Nkr8.3 billion.

Corporate Framework Agreements for Specialist Services

The same three companies, along with 15 additional suppliers, have been awarded two-year corporate framework agreements for a range of specialist and specific well services. The 15 companies are Weatherford, Roxar Flow Measurement, Archer Oiltools, Interwell, National Oilwell Varco, Welltec, Ramex, TCO, Silixa, Tendeka, Sekal, Expro, Enventure Global, Coretrax, and Corpro Systems. These corporate framework agreements are estimated at Nkr8.6 billion over the two years.

Strategic Importance and Future Outlook

Jannicke Nilsson, Equinor’s chief procurement officer, emphasized that these agreements are among the largest and are crucial for activity on the Norwegian continental shelf, enabling high production and stable energy delivery to Europe, especially during turbulence in energy markets. Rune Nedregaard, Equinor’s senior vice president for wells, noted that new wells are expected to account for around 70% of Equinor’s production in 2035, requiring more wells and interventions delivered faster and more cost-efficiently through closer collaboration with the supplier industry and increased use of technology and standardization.