Aker Solutions has been awarded a contract extension from oil major Total, valued at more than NOK 400 million (£33.82 million).
Under the agreement, Aker will provide maintenance and operations services at the Elgin and Franklin fields, located in the North Sea.
“We have a healthy order backlog and solid financial position underpinned by our continuous improvement efforts and consistently strong execution on major projects worldwide”, Aker Solutions Chief Executive Luis Araujo said in a presentation to investors in Oslo.
Total Awards UK North Sea Extension To Aker
“We are building on all of this with key collaboration that boost our competitiveness, particularly in the subsea area”, Araujo added.
The Elgin-Franklin fields are two adjacent gas condensate fields located in the North Sea, east of Aberdeen.
The joint development is one of the largest high pressure high temperature (HP/HT) installations in the world, containing the world’s highest temperature field – West Franklin.
The infrastructure is expected to be operational until 2033, according to information on Total’s website.
Aker On Track To Reach Improvement Goals
The company also announced today that it is making good progress towards reaching the goal of increasing cost-efficiency by at least 30% in all its areas.
According to a statement, a quarter of the targeted improvement should be achieved this year, helping the company realise potential annualised cost-savings of at least NOK 9 billion (£760.9 million) by the end of 2017.
“We are simplifying how we work and standardising our products and services to drive through savings and become more competitive,” the CEO said.
“These efforts are supporting our margins and we are winning new work through increased collaboration with customers and industry participants on key projects and technology”, Araujo added.
Yesterday, Aker had announced a contract to deliver its largest-ever umbilicals system at the Zohr offshore gas field in Egypt, valued at over NOK 1 billion (£84.93 million).