Production from Equinor’s important Johan Sverdrup field, which accounts for 755,000 bopd (36% of Norway’s oil production), was shut-in on Monday as a result of a power outage. Production was in the process of being restored on Tuesday.
According to Equinor, the outage was caused by overheating at an electric converter station onshore.
A 2022 BOE post questioned Norway’s push to power offshore platforms with electricity transmitted from shore. This incident reinforces those concerns. Summary:
- Most offshore platforms produce sufficient gas to support their power demands
- Assuming gas that is not used to power a platform is marketed and consumed elsewhere, the net (global) reduction in CO2 emissions from electrifying offshore platforms is negligible. (Perhaps there is actually a small increase in net emissions given the power required to transport the gas to markets and the emissions associated with onshore power generation).
- Offshore power demands are highly variable, especially when drilling operations are being conducted.
- Gas turbines are reliable, and capable of responding to variable power demand. Excess generation capacity is typically provided.
- Power from shore increases the cost of platform operations and could decrease ultimate recovery of oil and gas resources.
- Per NPD, electrification of the shelf will increase electricity prices for onshore consumers and increase the need for onshore facility investment.
- Gas turbines or diesel generators are still necessary to satisfy emergency power needs at the platforms.
- Long power cables are vulnerable to damage (accidental or intentional), as are onshore power stations.
I hope the investigation of this incident considers some of these broader electrification policy issues.
Bud's Offshore Energy (BOE) 