Norwegian energy major Equinor and its partner Ithaca Energy have taken the final investment decision to progress Phase 1 of the $3.8bn Rosebank development on the UK Continental Shelf.
The Rosebank field, which is the largest undeveloped field in the UK, is located around 130 kilometres northwest of Shetland in approximately 1,100 metres of water depth. Total recoverable resources are estimated at around 300m barrels of oil, with Phase 1 targeting an estimated 245m barrels of oil.
The field will be developed with subsea wells tied back to a redeployed floating production storage and offloading vessel (FPSO), with start-up planned in 2026-2027. The capacity of the redeployed FPSO will be around 70,000 barrels of oil per day. Oil will be transported to refineries by shuttle tankers, while gas will be exported through the West of Shetland Pipeline system to mainland Scotland.
Altera has been awarded a bareboat charter and an operations and maintenance contract related to the Petrojarl Knarr FPSO which is set to be deployed on the Rosebank field on a firm contract for nine years, and options up to a total of 25 years.
The vessel is currently undergoing life extension work, modifications for field specifics and enhanced energy efficiency as well as making the FPSO electrification ready at Drydocks World in Dubai. Petrojarl Knarr was built by Samsung Heavy Industries in South Korea and delivered in 2014. It operated on the Knarr field from 2015 until May 2022.
Equinor is collaborating with the UK government and industry to pursue a regional solution for power from shore to Rosebank and nearby fields to minimise carbon emissions from production.
According to an independent socioeconomic report by Wood Mackenzie and Voar Energy, Rosebank is estimated to create £8.1bn ($9.85bn) of total direct investment over the lifetime of the field, 78% of which is likely to be invested in UK-based businesses. It is expected to support around 1,600 jobs during the height of the construction phase of the project, and it will continue to support around 450 UK-based jobs during the lifetime of the field.
TechnipFMC has been awarded an iEPCI contract for subsea production systems, umbilicals, risers and flowlines with an estimated value of around $500m for the local content part. Project management and engineering activities will be performed mainly from Aberdeen and tree systems will be manufactured in Dunfermline. Umbilicals will be produced in Newcastle, pipelines will be fabricated in Evanton, and the main vessel mobilisation site will also be in the UK.
Odfjell Drilling has been awarded a rig contract, with an estimated value of $328m including integrated services, modifications, and options. The Deepsea Atlantic is scheduled to start a seven-well drilling campaign in the second quarter of 2025, with four single-well options included.
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