Aker BP projects off Norway see costs rise by up to 23% - fiscal budget
The cost of Aker BP's ongoing Yggdrasil oil and gas project has risen 9.8% to 195 billion Norwegian crowns ($20.41 billion), while the Valhall-Fenris project costs have increased 23% to 93.4 billion crowns, data from the government's fiscal budget showed.
8% and 23%, respectively, from nominal estimates a year ago, data from the government's fiscal budget showed on Wednesday. The increase was in line with projections made by Aker BP in July, a company spokesperson said. 6 billion crowns one year ago. 9 billion crowns.
9 billion crowns, respectively, when they were approved by the government in 2023. Aker BP flagged a cost rise in July citing updated estimates for construction of offshore installations and extra resources needed to meet the 2027 completion deadline. Estimates for Yggrasil project also increased due to the addition of new, recently discovered resources that expanded the work's scope, as well as due to additional wells at Valhall-Fenris, the fiscal budget showed. Both projects were on track to start production next year, according to the government documents.
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