Aberdeen energy service company Wood Group said yesterday it had been awarded a significant three-year extension to a contract, plus two optional years.
Wood Group said the estimated potential value of the Total E&P UK deal was up to £50million a year.
Under the deal, Wood Group will continue to provide engineering design, procurement, construction and ancillary services to Total’s UK North Sea Alwyn, Dunbar, Elgin and Franklin fields, plus its St Fergus gas terminal in the north-east.
Total first awarded Wood Group the North Sea engineering and construction contract seven years ago.
Alan Curran, chief executive of Wood Group Engineering (North Sea), said: “We are delighted to have been awarded this key contract extension by Total.
“It is testament to our hard work and commitment that Wood Group’s long-term relationship with Total has been extended for a minimum of another three years. We are totally committed to playing our part to deliver Total’s large investment programme to extend the life of existing UK fields.
“Our Total contract currently employs 240 onshore in Aberdeen and Glasgow, plus offshore personnel.”
Total E&P UK managing director Roland Festor said: “Total E&P UK is continuing to invest significantly to enhance oil and gas production from its assets by improving plant performance.
“We are extremely pleased to continue to work with Wood Group.”
Total’s production is about 220,000 barrels oil equivalent per day and it employs around 750 staff at its Aberdeen headquarters.