Premier Oil is pressing ahead with work on its £435million Tolmount project in the South North Sea
It has awarded a contract to Wood Group, which will provide topsides, jacket, pipeline, flow assurance and subsea engineering for Premier’s Tolmount offshore assets and export pipeline, which will tie into the Dimlington onshore terminal in Humberside.
Premier bought its 50% operating stake in Tolmount from Germany’s E.ON as part of a $120million (£96.7million deal) to buy it North Sea assets last year.
The North Sea oil and gas firm is on better financial footing, having inked a refinancing plan with lenders which it expects to complete in May.
Earlier this month it also raised £52.8million with its sale of its Pakistan to Al-Haj Energy.
First gas from Tolmount is expected in the fourth quarter of 2020.
The field, thought to hold about 500billion cubic feet, and it is hoped the field will have a 20-year production lifespan.
Wood, which is currently undertaking a merger with Amec Foster Wheeler, was also recently awarded a $50million contract by Premier to deliver topside operations and maintenance services to the Balmoral floating production vessel in the Central North Sea, and the Solan installation, West of Shetland.
Robin Watson, Wood Group’s chief executive, said: “This award demonstrates the integrated solutions that we are uniquely positioned to provide; bringing facility engineering, specialist technical solutions and our operational reputation to front end engineering design.”
Meanwhile, Bilfinger Salamis said a multi-million North Sea contract will create more than 30 new jobs.
The service firm secured the deal with Nederlandse Aardolie Maatschappij BV (NAM) and Shell UK to provide topside inspection engineering and non-destructive testing services on the companies‘ onshore and offshore assets in the UK and Netherlands.
The company’s employees will be working offshore on assets in the Southern North Sea, and at onshore sites including Bacton and Den Helder.
Bilfinger Salamis senior operations manager Craig Taylor said: “Securing this long-term contract was a major strategic target for us, and it is great to once again be working with Shell, who we have worked with extensively in the past.”
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