Aker Solutions Awarded Subsea Gas Compression Contract

06 Jul 2021 10:30 CEST

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AKER SOLUTIONS, Aker Solutions ASA 18/22 FRN, Aker Solutions ASA 19/24 FRN C

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NO0010716582, NO0010814213, NO0010853286

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Oslo Børs

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AKSO

July 6, 2021 - Aker Solutions has been awarded a major[1] contract from Chevron
Australia Pty Ltd to provide a subsea gas compression system for the Jansz-Io
field, offshore Western Australia. The company has booked around NOK 7 billion
as order intake in the second quarter of 2021 related to this contract.

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"Globally, this is the second subsea gas compression system delivered by Aker
Solutions and demonstrates our pioneering spirit to create value for our
customers. Our world-leading technology improves field recoverability while
offering carbon emission efficiencies compared to traditional compression
alternatives", said Kjetel Digre, chief executive officer of Aker Solutions.

The scope covers engineering, procurement and construction (EPC) of the all
-electric subsea gas compression system. It also includes interface
responsibility, and assistance during installation and commissioning. The subsea
gas compression system will include a complete compression station with three
compressor modules and two subsea pump modules, all-electric control systems and
actuators, structures including mud mats, high-voltage electrical power
distribution system, several spare modules and equipment and various associated
tooling.

"We are extremely pleased to be chosen for this major contract. This award
signifies a huge leap for our world-leading subsea gas compression technology.
Aker Solutions has been present in Western Australia for more than 20 years. We
look very much forward to working collaboratively with partners such as MAN
Energy Solutions on this major development. This award confirms our leading
position within subsea technology and system integration globally," said Digre.

The award follows completion of the front-end engineering and design
(FEED) (https://www.akersolutions.com/news/news-archive/2019/aker-solutions-wins
-feed-contract-for-subsea-compression-system-/) awarded in 2019. The work starts
immediately with delivery expected during 2025. The project will be managed from
Aker Solutions' headquarters in Fornebu, Norway. Client interface and
operational planning will be handled from Perth, Australia.

The Jansz-Io gas field was first discovered in April 2000 and is located around
200 kilometers offshore the north-western coast of Western Australia, at water
depths of approximately 1,400 meters. The Jansz-Io field is a part of the
Chevron-operated Gorgon project, one of the world's largest natural gas
developments.

Next Generation Compression Technology
The world's first subsea gas compression system was delivered by Aker Solutions
to Equinor's Åsgard field in Norway in 2015. The technology had been developed
through several years of strong in-house expertise and in close collaboration
with the customer and suppliers such as MAN Energy Solutions and ABB. The
technology has since been taken further, and the Jansz-Io Compression (J-IC)
project will have close to three times more compression power than the Åsgard
system at a comparable physical dimension and lower weights.

"Our world-leading subsea gas compression technology has demonstrated an
impressive system regularity of close to 100 percent, during its six years in
operation at Åsgard. This technology was a game-changer for the industry, by
significantly improving recovery rates, reducing costs and enhancing safety,
with a much smaller environmental footprint than the traditional alternative. We
have further improved the technology and are very excited to deliver the next
generation subsea gas compression system to Chevron. Continuous improvements
will be a focus to increase efficiency, optimize execution and maximize
potential," said Maria Peralta, executive vice president and head of Aker
Solutions' subsea business.

Reduced Carbon Footprint
Compared to the traditional alternative from a topside compression platform,
subsea gas compression is a low-carbon solution for the production of natural
gas. During the lifetime of a natural gas field, the pressure in the reservoir
will drop during production, and compression is the primary way to maintain the
production and enhance recovery. Compared to the alternative, subsea compression
represents a significant reduction in energy consumption and carbon emissions in
a lifecycle perspective. Placing the system close to the reservoir at the
seabed, with significantly higher pressure than at sea level, typically reduces
the energy consumption by about 20-60 percent per year.

The size and weight of the subsea system is significantly smaller than a
platform solution, which means a major reduction in steel and other materials.
It also reduces health and safety risk and eliminates the need for logistics and
transportation versus a normally manned platform. The system is all-electric,
which means no risk of hydraulic discharge to sea. This results in increased
cost-efficiency and lower carbon footprint versus a traditional topside platform
solution.

The Chevron-operated Gorgon Project is a joint venture between the Australian
subsidiaries of Chevron (47.3 percent), ExxonMobil (25 percent), Shell (25
percent), Osaka Gas (1.25 percent), Tokyo Gas (1 percent) and JERA (0.417
percent).

[1]Aker Solutions defines a major contract as being NOK 3.0 billion and above.

ENDS

Media Contact:
Torbjørn Andersen, mob: +47 928 85 542, email:
torbjorn.andersen@akersolutions.com

Investor Contact:
Fredrik Berge, mob: +47 450 32 090, email: fredrik.berge@akersolutions.com

Aker Solutions delivers integrated solutions, products and services to the
global energy industry. We enable low-carbon oil and gas production and develop
renewable solutions to meet future energy needs. By combining innovative digital
solutions and predictable project execution we accelerate the transition to
sustainable energy production. Aker Solutions employs approximately 14,000
people in more than 20 countries.

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This press release may include forward-looking information or statements and is
subject to our disclaimer, see https://akersolutions.com

This information is subject of the disclosure requirements pursuant to section 5
-12 of the Norwegian Securities Trading Act.


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Aker Solutions ASA

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