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Equinor Signs Deal With AGR for Subsurface & Field Development Support

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Equinor ASA (EQNR - Free Report) has signed a long-term frame agreement with AGR for providing comprehensive subsurface and field development solutions associated with the developments of Equinor’s projects. This includes providing support to Equinor’s facilities, both offshore and onshore.

Per the terms of the agreement, AGR will support Equinor through its experience and expertise in multiple aspects of subsurface work. AGR will leverage expertise to support Equinor’s greenfield and tie-in projects as well as brownfield projects, both offshore and onshore. AGR will also provide subsurface consulting and business advisory services under the agreement.

The agreement aims to equip EQNR with technological support and services on various aspects related to the early-phase development of projects. Through this collaboration, AGR intends to offer multidiscipline support to Equinor’s offshore and onshore facilities. Furthermore, this will enable Equinor to secure additional capacity and maintain flexibility and competence for future projects. The frame agreement will be valid for three years. However, the agreement includes an option to extend the duration twice, each time for one additional year (3+1+1).

Equinor actively continues to explore new oil and gas fields, alongside the upgradation of its existing infrastructure, including offshore installations and onshore plants. Furthermore, Equinor is also working actively on various projects to support the energy transition, including offshore wind, blue hydrogen and ammonia, and carbon capture technology. AGR highlights that its reservoir management and subsurface team is fully equipped to support Equinor in all these projects.

AGR’s reservoir management and subsurface team will handle the work for the agreement. The reservoir management and subsurface division involves experts from various fields, including geology and geoscience, reservoir engineering, petrophysics, production technology, petroleum economics, facilities and operations geology. Furthermore, AGR’s parent company, ABL Group, had acquired Ross Offshore, which also adds to its team of subsurface experts. The team has a solid track record of delivering more than 1,700 reservoir studies for oil and gas giants and public institutions like banks and governments. The team also worked on more than 65 carbon capture and storage projects.

EQNR’s Zacks Rank and Key Picks

Currently, EQNR carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the energy sector are PEDEVCO Corp. (PED - Free Report) ,Archrock Inc. (AROC - Free Report) and Subsea7 (SUBCY - Free Report) . PEDEVCO and Archrock presently sport a Zacks Rank #1 (Strong Buy) each, while Subsea7 carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

PEDEVCO is engaged in the acquisition and development of energy assets in the United States and Pacific Rim countries. PED stands to benefit significantly from its holdings in the Permian Basin, one of the most prolific oil-producing regions in the United States, as well as in the D-J Basin in Colorado, which includes more than 150 high-quality drilling locations. Combined with bullish oil prices, this is expected to boost the company's production and overall profitability.

Archrock is an energy infrastructure company based in the United States, with a focus on midstream natural gas compression. It provides natural gas contract compression services and generates stable fee-based revenues.

Subsea7 helps build underwater oil and gas fields. It is a top player in the Oil and Gas Equipment and Services market, which is expected to grow as oil and gas production moves further offshore.


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