|
|
|
|
|||||
|
|
|
TechnipFMC plc FTI, a Houston, TX-based oil and gas equipment and services company, has been awarded a significant integrated Engineering, Procurement, Construction, and Installation (iEPCI) contract by Norway-based integrated oil and gas company Equinor ASA EQNR for the Heidrun extension project located in the Norwegian North Sea. This award, which is classified as “significant” by TechnipFMC, is valued between $75 million and $250 million.
This prestigious award was recorded as part of TechnipFMC’s inbound orders for the second quarter of 2025, further reinforcing the company’s growing influence in one of the world’s most mature offshore oil and gas regions.
Before the official contract award, TechnipFMC undertook a Front-End Engineering and Design (iFEED) study in close collaboration with Equinor. This early-phase engagement enabled a holistic and optimized subsea layout, addressing technical complexities while minimizing lifecycle costs. The transition from iFEED to full iEPCI scope exemplifies TechnipFMC’s ability to seamlessly integrate conceptual design with execution, setting a new benchmark for project delivery in subsea engineering.
Jonathan Landes, president of Subsea at TechnipFMC, emphasized the importance of early collaboration, noting that the direct contract showcases the benefits of joint efforts in achieving an optimized field design. Landes expressed eagerness to apply the iEPCI integrated execution approach to enhance this vital asset for Equinor. His statement highlights the strength of TechnipFMC’s integrated model in delivering value-driven solutions that align with client goals.
The Heidrun platform, operational since 1995, plays a critical role in Norway’s offshore oil production. By extending the platform’s production lifecycle, this new project supports long-term energy output while maximizing recovery from a mature field. The scope of work includes the design, procurement, fabrication and installation of subsea infrastructure that will tie back to existing assets, reducing environmental impact and capital expenditure.
This lifecycle extension project not only leverages TechnipFMC’s subsea expertise but also affirms Equinor’s strategic commitment to maximizing the value of existing infrastructure in the North Sea. As operating fields age, technological innovation and precision engineering become indispensable for sustaining production efficiency and safety standards.
TechnipFMC's integrated approach — combining engineering, procurement, construction and installation — has become a cornerstone of its value proposition. The iEPCI model simplifies execution by eliminating interface risks and delivering streamlined project management under a single contract. This methodology has proven to significantly reduce lead times and capital costs compared with traditional fragmented contracting models.
By offering a one-stop subsea solution, TechnipFMC ensures faster project turnaround, optimized resource allocation and lower total cost of ownership for its clients. These advantages are particularly beneficial in high-cost environments such as Norway’s Continental Shelf, where efficiency gains translate into substantial economic benefits.
The longstanding partnership between TechnipFMC and Equinor continues to evolve, driven by shared values of innovation, efficiency and environmental responsibility. This latest contract builds on a series of successful collaborations, with both companies leveraging digital technologies and integrated project strategies to improve operational outcomes.
The award for the Heidrun extension reflects Equinor’s confidence in TechnipFMC’s technical capability and project delivery performance. The companies’ ability to align on long-term field development strategies demonstrates a model for sustainable subsea operations in a rapidly changing energy landscape.
TechnipFMC remains at the forefront of subsea engineering innovation, continuously advancing its technology portfolio to support complex offshore projects. From advanced ROV systems and modular manifolds to cutting-edge digital twins and real-time data analytics, the company is redefining subsea operational excellence.
This contract showcases the strength of TechnipFMC’s integrated solutions and its capacity to deliver high-performance subsea systems in technically demanding environments. The deployment of cutting-edge technologies in the Heidrun extension will enhance field recovery, reduce emissions and extend the asset’s lifespan.
The Heidrun project award is a vital addition to TechnipFMC’s 2025 strategic roadmap. By securing high-value contracts across core markets, the company is reinforcing its financial resilience and accelerating growth in integrated subsea services. The order intake from Equinor also supports TechnipFMC’s goal of expanding its project backlog and maintaining a robust pipeline of long-term revenues.
As global energy demand shifts and decarbonization targets intensify, TechnipFMC is uniquely positioned to support operators with low-carbon, cost-efficient subsea solutions. The Heidrun extension further validates TechnipFMC’s role as a trusted partner in energy transition strategies, delivering projects that balance production sustainability with environmental stewardship.
The significant iEPCI contract awarded to TechnipFMC by Equinor for the Heidrun extension project marks a key moment in subsea field development in Norway’s North Sea. It demonstrates the effectiveness of early collaboration, the power of integrated execution and the value of long-term partnerships in the energy sector.
With its iEPCI model, TechnipFMC continues to redefine how subsea projects are conceptualized, engineered and delivered, making it a global leader in the offshore oil and gas industry. As the company executes this project, this will not only reinforce its technical credibility but also strengthen the commitment to delivering transformative subsea solutions for a sustainable energy future.
Currently, FTI and EQNR have a Zacks Rank #3 (Hold) each.
Investors interested in the energy sector might look at some better-ranked stocks like Kodiak Gas Services KGS, which sports a Zacks Rank #1 (Strong Buy), and Arc Resources AETUF, holding a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Kodiak Gas Services is valued at $2.95 billion and offers contract compression along with related infrastructure services to the U.S. oil and gas sector. Operating through its Contract Services and Other Services segments, Kodiak Gas Services supports natural gas and oil production with fixed-revenue contracts and a range of ancillary services.
Arc Resources, with a valuation of $11.85 billion, is a leading oil and gas company, focused on the exploration, development and production of energy assets predominantly in Western Canada. Founded in 1996, Arc Resources has grown to become one of Canada’s prominent mid-sized energy producers.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
This article originally published on Zacks Investment Research (zacks.com).
| 5 hours | |
| Jul-16 | |
| Jul-15 | |
| Jul-15 | |
| Jul-15 | |
| Jul-15 | |
| Jul-15 | |
| Jul-14 | |
| Jul-14 | |
| Jul-14 | |
| Jul-11 | |
| Jul-11 | |
| Jul-11 | |
| Jul-10 | |
| Jul-10 |
Join thousands of traders who make more informed decisions with our premium features. Real-time quotes, advanced visualizations, backtesting, and much more.
Learn more about FINVIZ*Elite