Aker BP is an oil and gas exploration and production (E&P) company. Its focus is to operate with lowest possible costs and emission per produced barrel.
Measured by production, Aker BP is one of the largest independent, listed oil companies in Europe. Aker BP operates six field centers: Valhall, Ula, Ivar Aasen, Alvheim, Skarv, and Edvard Grieg. In addition, Aker BP is partner in the Johan Sverdrup field.
Aker’s ownership agenda
Aker holds 21.2 percent of the shares in Aker BP. Aker’s aim is to reinforce Aker BP as a key operator on the NCS, supporting the company’s ambitious targets for organic growth and through value-generating transactions. Aker BP’s strong operational performance and improvement program for operational safety and efficiency are reducing both costs and CO2 emissions per produced barrel of oil. As owner, Aker works to ensure that Aker BP operates with the lowest cost and emissions possible.
Aker BP works to be a benchmark for safe, efficient, profitable, and sustainable oil and gas operations. The company has defined CO2 reduction targets in accordance with the Paris Agreement.
Øyvind Eriksen and Kjell Inge Røkke represent Aker on Aker BP’s Board of Directors.
Valhall is considered a giant on the Norwegian Continental Shelf and has produced more than a billion barrels of oil equivalents since its start in 1982. Since 2013, the Valhall field has been powered with electricity from shore. During normal operations, there is zero CO2 production emissions. The production start of Valhall Flank in late 2019 was an important step towards achieving Aker BP’s ambition of another billion barrels from Valhall over the next 40 years.
The Ula-field started production in 1986, and is a field center for the Tambar, Blane, and Oda fields – and a production hub for further exploration and possible new discoveries in the area. The ambition is to further develop the Ula area and to extend the economic lifetime of the Ula hub.
The Ivar Aasen field started production in 2016, and in 2019, it became the first manned platform on the Norwegian shelf to be operated from an onshore control room. The result is increased recovery and high production efficiency. Ivar Aasen is Aker BPs digital pilot, equipped with new technology, which further contributes to more efficient and safer operations.
Alvheim started production in 2008, and has larger recoverable oil and gas resources than originally estimated, very good uptime and production results. The Alvheim area also consists of the Boa, Vilje, Volund, Bøyla, and Skogul fields, which are produced via Alvheim FPSO. Its development is based on the history of an organization and partners focusing on opportunities, implementing new technology while staying focused on delivering safe, reliable, and cost-effective operations. Aker BP’s ambition is to produce one billion barrels through the Alvheim FPSO. New wells and tie-ins of other fields in the area are important steps towards achieving the goal.
Skarv had production start-up on New Year’s Eve in 2012. The field has been developed with a floating production, storage and offloading vessel (FPSO) and has one of the world’s largest offshore gas processing plants on this type of facility. Several deposits and fields are connected to the Skarv POSO, including Skarv, Idun, Ærfugl and Gråsel. Exploration success in the area in 2019 gave fresh perspectives on the geology around Skarv, generating new ideas on drilling prospects in the coming years. Several energy optimization projects resulted in reduced costs and lower CO2 emissions. In December 2022, Aker BP (operator) and partners submitted plans for development and operations for three separate developments in the Skarv area to the Norwegian Ministry of Petroleum and Energy. The ambition for the Skarv area extends to 2040 and beyond.
On 5 October 2019, the Johan Sverdrup field came on stream more than two months ahead of schedule and NOK 40 billion below budget. This giant oil field will be a major contributor to Aker BP’s production and earnings growth in the years to come.
Aker BP has good access to licenses and operatorships on the NCS and is an active explorer. In recent years, about two thirds of the Aker BP’s exploration budget has been invested in the mature areas in the North Sea, where the infrastructure is good and the discovery rate still high.
Aker BP continues to be an operator with low carbon emission intensity. Its emissions are less than half the global industry average, and below the average for operators on the Norwegian continental shelf. From 2020 on, Aker BP’s goal is to deliver an emission intensity below 5 kg per barrel oil equivalent.
Development of the NOAKA area
Following the announced changes to the Norwegian petroleum tax system in June 2020, Aker BP and Equinor entered into an agreement in principle on commercial terms for a coordinated development of the licenses Krafla, Fulla and North of Alvheim (NOAKA) on the NCS and have started preparations for submitting Plans for Development and Operation (PDO) in 2022.
The development of the area will have significant effects on the Norwegian supply industry. Total investments are expected to be more than NOK 50 billion.