Aberdeen-based engineering firm Wood has secured a contract with Shell for work on the Prelude floating liquified natural gas (FLNG) facility in Western Australia.
The six-year deal will see Wood provide brownfield engineering, procurement, and construction management (EPCm) solutions to the world’s largest offshore gas facility.
Ken Gilmartin, chief executive at Wood said the deal builds on the Aberdeen firm’s 70-year history working with Shell.
He added: “LNG is a key transition fuel as industry balances the need for global energy security with the importance of urgent reduction in carbon emissions.”
The contract announcement comes as Wood continues to be subject to a bid process. Recently, Wood extended the deadline for Dubai-based competitor Sidara’s takeover bid.
The north-east headquartered business granted Sidara access to due diligence materials in June as it mulled the final offer, which valued the firm at around £1.6bn.
Now Sidara, also known as Dar Al-Handasah Consultants Shair and Partners, has until the end of this month to give a final offer under “put up or shut up” takeover rules. Sidara had until 5pm on 3 July to confirm its “‘final offer”‘ for Wood at 23op per share, but the Wood board and the independent Takeover Panel agreed to an extension until 31 July.
On the recent deal with Shell, Mr Gilmartin added: “The contract will draw on our global LNG expertise and underlines our position as a market leader for brownfield engineering across Australia.”
Wood also recently announced it has been selected by EPCI contractor Rosetti Marino to deliver a front-end engineering design (FEED) study for the INEOS Hejre development project in the Danish sector of the North Sea.
Founded in 1982 by Aberdeen businessman Sir Ian Wood, Wood Group employs around 35,000 people across major energy hubs including Houston, Calgary, Perth, Abu Dhabi and Milan.
Recommended for you
