Croatia’s Dalekovod MK to deliver poles for Norwegian oil project

"The project is on track for an early completion, with all poles scheduled for delivery in April, surpassing the initial delivery timeline," Koncar said in its monthly newsletter earlier this week.

Financial details were not disclosed.

The Yggdrasil project was endorsed by Norway's ministry of petroleum and energy in June 2023 and is led by Norwegian oil exploration and development company Aker BP, in partnership with Norway’s Equinor Energy and PGNiG Upstream Norway.

The project envisages establishing a new transformer station in Bordalen, Samnanger, introducing an 11-km long, 145-kilovolt transmission line in Samnanger, setting up a compensation station in Arskog, Fitjar, and laying 250 kilometers of submarine cables from Samnanger to the Yggdrasil site, setting a record for the longest underwater cable installation globally.

According to the website of Aker BP, the Yggdrasil, formerly known as NOAKA, consists of the Hugin, Fulla and Munin licence groups, and the area is located between Alvheim and Oseberg. The area is home to a number of discoveries and contains a total of around 650 million barrels of oil equivalent. Total investments are projected at 115 billion Norwegian krones ($10.4 billion/9.8 billion euro).

Dalekovod MK’s poles will be used for the Samnanger part of this project.

Dalekovod MK is a fully-owned subsidiary of power transmission equipment manufacturer Dalekovod [ZSE:DLKV], which is majority-owned by Koncar.

Dalekovod’s shares traded 1.65% lower at 2.38 euro on Friday on the Zagreb bourse by 1050 local time, while Koncar’s shares traded flat at 258 euro.

(1 Norwegian krone = 0.085 euro)