Aker BP

Board/Management Information • May 5, 2022

Transfer of Krafla operatorship from Equinor to Aker BP

Transfer of Krafla operatorship from Equinor to Aker BP

Equinor and Aker BP have signed a memorandum of understanding (MoU) for transfer

of the Krafla operatorship from Equinor to Aker BP, making Aker BP the operator

of all discoveries in the NOAKA area - Krafla, Fulla and North of Alvheim.

Equinor and Aker BP are operators of one field development project each in the

area and have agreed that one operator will be the best solution for further

development of the area. Equinor is presently the operator of Krafla in the

north and Aker BP is the operator of NOA Fulla in the south. One operator will

have a good basis for efficient project execution and for safe and efficient

operation of the fields, creating stronger synergies between the two

developments and fewer interfaces.

"The current agreement is the result of an excellent collaboration during the

past years, built on mutual trust and a common ambition of achieving lasting

improvements and efficient operation on the Norwegian continental shelf (NCS).

The best solution for the future is that Aker BP takes over the operatorship for

project execution and operation of Krafla, based on the concept developed by

Equinor," says Geir Tungesvik, Equinor's executive vice president for Projects,

Drilling & Procurement.

Moving forward, Equinor will ensure transfer of expertise and experience

relating to the Krafla concept to Aker BP and the collaboration will continue in

the development phase.

"Aker BP and Equinor have had an excellent collaboration during the past years

on the NOAKA development. We are proud of being able to take over the Krafla

operatorship, to ensure efficient project execution and operation of the whole

area on behalf of the licences," says Karl Johnny Hersvik, chief executive

officer of Aker BP.

The MoU states that the licence owners of the relevant licences will apply to

the ministry for change of operator. A transfer of operatorship will be carried

out when the investment decision has been approved by the licence and the plan

for development and operation (PDO) has been submitted to the authorities.

Equinor will still be a major licence partner in the area and will retain its

existing share of 50 per cent in Krafla and 40 per cent in the Fulla licence.

The companies will jointly submit the PDOs for NOA Fulla and Krafla as planned

by the end of the year.

With investments in the order of USD 10 billion the area development is one of

the next big NCS developments. A high percentage of the contracts will be

awarded to Norwegian suppliers, creating strong ripple effects throughout the

country.

Facts on NOAKA

· The NOAKA area is between Oseberg and Alvheim in the North Sea.

· The area consists of the Krafla, Fulla and north of Alvheim discoveries.

· Equinor is the operator of Krafla in the north, Aker BP for NOA Fulla in the

south. LOTOS Exploration and Production is also a licence partner in the area.

· The distribution of shares in the area is as follows:

· Krafla: Equinor 50 %, Aker BP 50 %

· Fulla: Aker BP 47,7 %, Equinor 40 %, LOTOS 12,3 %

· NOA: Aker BP 87,7 %, LOTOS 12,3 %

· Total recoverable resources in the NOAKA area are estimated at around 600

million barrels of oil equivalent. Preliminary calculation of planned

investments is USD 10 billion.

· Aker BP and Equinor have a common ambition of developing the NOAKA area with

low emissions and a high degree of digital and future-oriented solutions, both

in the project and operations phases.

· The concept covers a production, drilling and living quarter platform on NOA

that periodically will have little or no staff. The Frøy field is being

redeveloped with a normally unmanned wellhead platform to be tied back to NOA.

An unmanned production platform on Krafla will be tied back to NOA for

processing of oil and produced water.

· The concept also covers an extensive development on the seabed, including a

total of nine subsea templates in the area.

· Plans call for an area development with power supply from shore.

· Production start is scheduled for 2027.

Contacts:

Jørgen Torstensen, Senior IR Professional, tel.: +47 95 48 37 07

Ole-Johan Faret, Press Spokesman, tel.: +47 402 24 217

About Aker BP:

Aker BP is an independent E&P company with exploration, development and

production activities on the Norwegian Continental Shelf. Aker BP is the

operator of Alvheim, Ivar Aasen, Skarv, Valhall, Hod, Ula and Tambar. The

company is also a partner in the Johan Sverdrup field. Aker BP is headquartered

at Fornebu, Norway, and is listed on the Oslo Stock Exchange under the ticker

'AKRBP'. More about Aker BP at www.akerbp.com.