Petrofac Inc. and Saipem SpA have secured a contract to support the decommissioning of a platform in the United Kingdom (UK) sector of the North Sea.
Under the terms of the contract, the two companies will work as an integrated team to prepare and remove the 20,000-metric-ton topside using the Saipem 7000, one of the largest semi-submersible heavy lifting vessels in the world, Petrofac said in a news release Monday. The contract details were not disclosed, although the energy service provider said the contract was a “multimillion pound” deal.
Petrofac said it will execute the three-year project over two phases. The first phase will be for preparations onboard the platform, while the second will be on the Saipem 7000 for the actual removal campaign. The scope of Petrofac’s contract includes module separation, lift point inspection, lift point installation, riser, and caisson severing.
“As our sector pursues cleaner sources of energy, decommissioning is a key enabler for the transition”, Petrofac Asset Solutions COO Nick Shorten said. “Supporting Saipem and their customer, we look forward to leveraging our knowledge of North Sea operations and service provision, and 20 years of decommissioning experience to deliver a safe and predictable program that can serve as a case study for the North Sea’s transition”.
Further, Petrofac has been awarded a three-year contract extension in support of Repsol Sinopec Resources UK’s North Sea operations worth over $100 million. The contract is for the provision of operations and maintenance services, Petrofac said in an earlier news release.
Since Petrofac’s initial appointment by Repsol Sinopec in 2016, the scope of work has grown steadily, with Petrofac securing contracts for an additional six North Sea assets in 2020, according to the release.
“Our relationship with Repsol Sinopec has continued to grow, adapting to new requirements and the operating environment”, Shorten said. “This contract extension demonstrates our team’s commitment and drive to support Repsol Sinopec through safe and effective operations. We look forward to our continued partnership and collaboration across their North Sea assets”.
The contract includes servicing for a range of assets, including Arbroath, Auk, Bleo Holm, Claymore, Clyde, Fulmar, Montrose, Piper, Saltire and Tartan assets in the North Sea. Petrofac also provides support to Flotta Oil Terminal and Nigg Oil Terminal.
Earlier in the month, ADNOC Gas plc awarded a $615 million (AED 2.26 billion) engineering, procurement, and construction (EPC) contract to Petrofac Emirates LLC for the construction of carbon capture units, pipeline infrastructure, and a network of wells for carbon dioxide injection at the Habshan gas processing plant, as part of Abu Dhabi National Oil Company’s (ADNOC) accelerated decarbonization plan.
The Habshan Carbon Capture, Utilization, and Storage (CCUS) project, one of the largest carbon capture projects in the Middle East and North Africa region, will have the capacity to capture and permanently store 1.5 million tons per annum of carbon dioxide within geological structures deep underground. Carbon dioxide will be injected and placed for permanent storage in ADNOC Onshore’s Bab Far North Field, located approximately 150 miles southwest of Abu Dhabi. The project is expected to be commissioned in 2026 and ADNOC Gas will be responsible for building, operating, and maintaining the project on behalf of ADNOC.
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