Petrofac (LON: PFC) has been awarded a £54.34 million well management services contract by the Aberdeen-based Dana Petroleum for all of its UK operated assets.
The services company, which has had offices in Aberdeen since 2002, will work with Dana’s Triton floating production storage and offloading (FPSO) vessel and Western Isles FPSO.
The contract, scheduled over two years with opportunities for extension, provides well engineering services to Dana’s 11 operated and 18 non-operated licences in the UK North Sea.
The deal encompasses full life cycle well engineering from concept through detailed design and planning, supporting well construction, intervention, and decommissioning activities.
As part of its integrated well engineering offering, Petrofac will continue to manage the entire supply chain including rig or vessel hire and well service contracts.
This continues the existing five-year relationship between the two firms and comes soon after Dana Petroleum announced the appointment of new a new chief executive and chief operating officer.
This comes as Dana has agreed to sell of its Netherlands North Sea assets to Waldorf Production for an as-yet undisclosed sum.
The London-listed Petrofac also recently announced that it has been awarded a two-year field maintenance services contract extension with ADNOC on the Haliba field, which it began working on in 2019.
Chief operating officer at Petrofac, Nick Shorten, said: “The UK, our home for more than 25 years, is where we first honed our now world-leading well engineering skills.
“I’m proud of the value we have been delivering to Dana for the last five years, but there is no better validation of our delivery than our customer’s decision to retain our services.
“We look forward to supporting their delivery of value for their shareholders through continued safe, reliable and efficient operations.”
Dana Petroleum‘s chief operating officer, Andy Duncanson, added: “We are really pleased to award this new contract to Petrofac.
“Dana is committed to doing all we can to support the supply chain and nurture the specialist skills that are so important for both our business and the wider sector”.
At the time of writing (1030), Petrofacs’ stock prices are down 1.91%, selling on the London stock exchange for £1.02 a share.
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