Norway's Offshore Energy Landscape: Innovation, Investment, Expansion

The first half of the year has marked a period of rapid advancement across traditional oil and gas, offshore wind power, and carbon capture and storage (CCS), with a focus on integrating sustainability into all facets of maritime and energy operations.

As Norwegian companies accelerate their investments in dual-fuel and methanol-ready support vessels, autonomous subsea operations, and floating wind technologies, while also commissioning key oil fields and expanding low-emission infrastructure, Norway’s offshore sector is laying the solid groundwork for the long-term energy resilience.

Offshore Fleet: Cutting-Edge Vessel Investments

The first half of 2025 has seen a strong surge in offshore vessel activity across Norwegian companies and shipyards, aimed at enhancing capabilities in both traditional oil and gas and the rapidly evolving offshore renewables market.

A major initiative was launched by Eidesvik Offshore, Agalas, and Reach Subsea, who have teamed up to build a new Construction Support Vessel (CSV) with hybrid propulsion and dual-fuel capabilities. To be delivered in spring 2027 from Sefine Shipyard in Turkey, the 99.9-m vessel will support inspection, maintenance, and repair (IMR) work in challenging offshore conditions. Designed by NSK Ship Design, it features a breadth of 21 meters, accommodation for 100 personnel, and a 150-metric-ton heave-compensated crane. The deck area spans 900 sq. m., optimized for construction equipment and operations.A major initiative was launched by Eidesvik Offshore, Agalas, and Reach Subsea, who have teamed up to build a new Construction Support Vessel (CSV) with hybrid propulsion and dual-fuel capabilities. To be delivered in spring 2027 from Sefine Shipyard in Turkey, the 99.9-m vessel will support inspection, maintenance, and repair (IMR) work in challenging offshore conditions. Designed by NSK Ship Design, it features a breadth of 21 meters, accommodation for 100 personnel, and a 150-metric-ton heave-compensated crane. The deck area spans 900 sq. m., optimized for construction equipment and operations.

Its energy system includes a battery hybrid propulsion system, paired with dual-fuel generators capable of running on both methanol and marine gas oil (MGO), aligning with Norway's sustainability goals. The vessel is also equipped with a cutting-edge remotely operated vehicle (ROV) launch and recovery system (LARS) and is prepared for deepwater seabed survey operations.

At VARD’s Romanian facility, construction has begun on Island Offshore's new hybrid Ocean Energy Construction Vessel (OECV), Island Evolution. The vessel design, VARD 3 25, emphasizes mission flexibility, allowing it to undertake subsea IMR, pipe laying, subsea infrastructure construction, and diving support. The Island Evolution will be joined by a sister vessel, Island Explorer, with a steel-cutting ceremony scheduled for July 1, 2025. Both vessels will include heave-compensated cranes rated at 250 tons, walk-to-work gangway compatibility, and future-proof hull designs optimized for low-emission fuels.

Sea1 Offshore (formerly Siem Offshore) is also scaling up its offshore energy fleet. The company placed new orders with Cosco Shipping for two additional support vessels, extending its newbuild program to four units. These ST-245-designed ships measure 120m in length and include 1,400 sq. m. of cargo deck space. Each vessel will be equipped with a 250-ton crane, ROV hangar, moonpool, and accommodation for 120 persons. Importantly, they will feature generators capable of operating on 100% biofuel and are methanol-ready. Advanced thruster systems and battery packages are integrated to maximize fuel efficiency across variable operational profiles.

Norwegian geophysical firm Electromagnetic Geoservices (EMGS) has taken a strategic step into the offshore construction market by acquiring the 2013-built Siem Day OSCV. Designed as an OSCV 11L type by VARD, EMGS aims to operate the vessel on a mix of long-term and spot contracts, using it as a platform to grow within the subsea construction domain.

Autonomy in offshore operations is being driven by DeepOcean and its partners Solstad Offshore and Østensjø Rederi, who unveiled the USV Challenger, a 24-m uncrewed surface vessel (USV) with diesel-electric hybrid propulsion and long-endurance battery capacity.

The USV Challenger, which can operate for 30 days offshore without refueling, includes a fully electric work-class ROV with hydraulic capability, operable down to 1,500 meters. The ROV is fitted with a robust tool package for inspection, seabed mapping, cleaning, and 3D scanning. It also supports a fly-out ROV for simultaneous visual inspections. During trials, the USV will be certified for four crew for operations within 20 nautical miles off Norwegian coastline, offering flexibility during inshore testing of the USV, LARS, remote technology and future new technologies.

Norwegian offshore vessel owner DOF is modernizing offshore wind cable maintenance with a modular cable repair spread that can be deployed on any of its 65 vessels. Built in collaboration with Royal IHC, the spread can be mobilized within 48 hours and requires only 12 lifting operations. The compact system includes a plug-and-play quadrant handler, tensioner, roller tables, and over-boarding chute, with a minimal deck footprint and enhanced cable handling integrity. This innovation reduces downtime and logistics complexity during cable repair campaigns.

Reinforcing Oil & Gas Production and Infrastructure

Norway's traditional oil and gas sector remains robust. On March 31, 2025, Equinor started production at the Johan Castberg field in the Barents Sea. The Arctic development comprises the Skrugard, Havis, and Drivis discoveries, and features a floating production, storage, and offloading (FPSO) vessel tied into a network of subsea wells distributed across 10 well templates and two satellite structures.

Production is currently supported by 12 completed wells, out of 30 planned, with plateau production of 220,000 barrels per day expected in the second quarter of 2025. Recoverable volumes are estimated at 450 to 650 million barrels. The field partners include Equinor (46.3%), Vår Energi (30%), and Petoro (23.7%). Johan Castberg represents Norway’s northernmost producing oil field and will produce for an estimated 30 years.

The drilling operations are expected to continue towards late 2026.

When it comes to Norway’s largest oil filed Johan Sverdrup, TechnipFMC has secured a major iEPCI contract from Equinor for Phase 3 of the field development. The project, valued between $500 million and $1 billion, will tie in additional wells to the current infrastructure, further extending the life of one of Norway's flagship oil fields.

Johan Sverdrup has already produced one billion barrels since first oil in 2019 and achieved record daily output of 756,000 barrels in 2024.

TechnipFMC will deliver subsea production systems, rigid pipe, and umbilicals. The Sverdrup field operates with 80–90% lower CO2 emissions than the global average due to its onshore-powered infrastructure.

It contributes approximately one-third of Norway’s daily oil production and includes partners Aker BP, Petoro, and TotalEnergies.

Offshore Wind and CCS Driving the Energy Transition

The offshore wind segment has also seen some major investment in innovation, with Wind Catching Systems receiving a $107 million grant from Enova, owned by the Norwegian Ministry of Climate and Environment, to deploy a Windcatcher demonstrator off Øygarden. The innovative floating structure incorporates multiple smaller turbines on a single frame, which enables scalable energy production with reduced operational complexity.

The demonstrator project involves four Windcatcher units with a combined capacity of up to 250 MW. The design allows at-sea turbine replacement without heavy-lift ships, potentially revolutionizing O&M logistics. Having secured Approval in Principle from DNV in 2024, the concept is now in the permitting phase. The project aims to enhance acreage efficiency and dramatically reduce lifecycle costs.

Meanwhile, carbon management efforts received a significant push through the $712.3 million investment in Phase 2 of the Northern Lights CCS project by Equinor, Shell, and TotalEnergies.

This includes a $141.3 million grant from the Connecting Europe Facility (CEF), approved by the European Commission in 2024.

Phase 2 will increase annual injection capacity from 1.5 to 5 million tons of CO2 and includes new onshore storage tanks, a jetty, and additional injection wells.

Construction will begin shortly, with operations scheduled for the second half of 2028. Phase 1 operations are set to begin in summer 2025 with CO2 shipments from Heidelberg Materials’ cement plant in Brevik and the Hafslund Celsio waste-to-energy plant in Oslo. The Northern Lights CCS initiative is part of Norway's Longship project, which combines industrial capture, shipping, and permanent offshore storage of CO2 in the North Sea.

From traditional oil and gas to innovative offshore wind concept, and across autonomous subsea robotics to methanol-ready support vessels, Norway's 2025 offshore strategy reflects a balanced approach to advancing low-emission solutions, innovation, economic value, and environmental responsibility.

Underscored by several key developments from the first half of the year, Norway continues to leverage its offshore expertise in support of global climate goals and energy security.