雅虎香港財經 Equinor Anchors FPSO on Johan Castberg, Preps for Year-End Production
Equinor ASA EQNR, a Norwegian state-owned energy powerhouse, has successfully anchored its floating production, storage, and offloading vessel (FPSO) on the Johan Castberg field in the Barents Sea. This marks a critical step as the FPSO is now set for hook-up to subsea facilities, paving the way for initiating production toward the end of 2024.
EQNR Anchors FPSO, Prepares for Subsea Hook-Up
The FPSO is currently being hooked up to the subsea infrastructure on the Johan Castberg field, according to Trond Bokn, Equinor's senior vice president of project development. The field, operated in collaboration with partners Vår Energi and Petoro, is poised to play a crucial role in bolstering Norway’s long-term energy supply. It is expected to generate significant value for Norway, creating jobs and long-term ripple effects for the broader society.
Johan Castberg is one of the largest oil fields in the Barents Sea, with estimated recoverable volumes in the range of 450-650 million barrels. At its peak, the field could produce up to 220,000 barrels of oil per day. It will have a production life of about 30 years. The field's development involves 30 wells, distributed across 10 subsea templates and two satellites, which will be connected to the FPSO. Currently, 13 wells have been drilled. The drilling operations will continue through 2026.
EQNR's Expansion Plans for Northern Norway
The Johan Castberg field, located 240 kilometers northwest of Hammerfest, is set to create new opportunities for oil exploration in Northern Norway. Grete Birgitte Haaland, Equinor's senior vice president for Exploration & Production North, highlighted the project's key role in the company’s broader development plans for the region. She noted that once Johan Castberg becomes operational, it will unlock a new area for oil recovery in the Barents Sea. Additionally, Equinor and its partners are progressing on five other discoveries, which could potentially be tied to the Johan Castberg field.
Norwegian suppliers have played a key role in the Johan Castberg project, with more than 70% of total deliveries coming from local companies. Once operational, it’s expected that 95% of deliveries will continue to be sourced from Norwegian suppliers, with North Norway accounting for around 40% of this. Notably, a third of Johan Castberg employees currently reside in Northern Norway.
Equinor holds a 50% operating stake in Johan Castberg, while Var Energi and Petoro hold 30% and 20%, respectively. The FPSO is an engineering marvel — 313 meters long, 55 meters wide and standing 120 meters tall, with a storage capacity of 1.1 million barrels of oil.
The Johan Castberg project represents a major advancement for Equinor and its partners, bringing significant benefits to Northern Norway and enhancing the country’s energy security.
EQNR’s Zacks Rank & Key Picks
EQNR currently carries a Zacks Rank #3 (Hold).
Investors interested in the energy sector may look at some better-ranked stocks like TechnipFMC plc FTI, Core Laboratories Inc. CLB and VAALCO Energy, Inc. EGY, each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
TechnipFMC is a leading manufacturer and supplier of products, services and fully integrated technology solutions for the energy industry, with a focus on the subsea segment in offshore basins worldwide. FTI’s growing backlog ensures strong revenue visibility and supports margin improvements.
The Zacks Consensus Estimate for FTI’s 2024 EPS is pegged at $1.34. The company has a Zacks Style Score of B for Value and A for Growth. It has witnessed upward earnings estimate revisions for 2025 in the past 30 days.
Core Laboratories, an oilfield services company, has a deep portfolio of sophisticated, proprietary products and services that positions it to take advantage of the growing maturity in the global hydrocarbon reserve base. CLB’s expanding international upstream projects indicate a positive trajectory for revenues and profitability, especially as oil demand continues to rise globally.
The Zacks Consensus Estimate for CLB’s 2024 EPS is pegged at $0.95. The company has a Value Score of B. It has witnessed upward earnings estimate revisions for 2024 and 2025 in the past 30 days.
VAALCO Energy is an independent energy company involved in upstream business operations, with a diversified presence in Africa and Canada. Having a large inventory of drilling locations in premium Canadian Acreage, the company’s production outlook seems bright.
The Zacks Consensus Estimate for EGY’s 2024 EPS is pegged at $0.65. The company has a Value Score of A. It has witnessed upward earnings estimate revisions for 2024 in the past 30 days.
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