What's Happening?
Equinor has announced the awarding of long-term framework agreements valued at over NOK 100 billion ($9 billion) to seven Norwegian supplier companies. These contracts are intended for maintenance, modifications,
and large project work across Equinor's offshore installations and onshore plants in Norway. The agreements, which are set to begin in the first half of 2026, have a five-year duration with options for extensions of three and two years. The contracts are among the largest framework agreements Equinor has awarded, providing significant long-term visibility for the Norwegian supplier industry. The agreements are designed to support high production levels on the Norwegian Continental Shelf (NCS), which Equinor plans to maintain as a core part of its portfolio through 2035.
Why It's Important?
This development is significant for the Norwegian supplier industry as it ensures long-term employment and economic stability. The contracts are expected to generate approximately 4,000 man-years of employment, supporting efforts to enhance safety, operational efficiency, and emissions performance. For Equinor, these agreements are crucial in sustaining production levels on the NCS, which is entering a mature phase requiring increased maintenance and recovery work. The investment aligns with Equinor's strategy to invest NOK 60–70 billion annually in increased recovery and new field developments, ensuring the company's competitive edge in the global energy market.
What's Next?
The contracts are expected to be formally signed in late January, with final portfolio allocations to be confirmed at that time. Equinor plans to continue its investment in the NCS by drilling approximately 250 exploration wells and 600 recovery wells, conducting about 300 well interventions annually, and executing around 2,500 modification projects. The company also aims to mature more than 75 subsea tie-back developments to existing infrastructure, ensuring the long-term viability of its operations on the NCS.
