Oil service group Petrofac has won a big North Sea contract which could be worth up to £500million.
The firm has landed an expanded workload with oil company Apache.
The deal involves Petrofac providing onshore engineering plus onshore and offshore construction services. The three-year contract, awarded following a competitive tender process, has two optional one-year extensions and is worth around £100million a year.
Petrofac will provide services to Apache assets including the Beryl Alpha and Bravo platforms in the northern North Sea and the Scottish Area Gas Evacuation (Sage) gas processing plant at St Fergus.
Petrofac said the deal was an extension to the current service contract which Petrofac holds for Apache’s Forties platforms in the North Sea.
Bill Dunnett, managing director of Petrofac Offshore Projects and Operations, said: “We have worked closely with Apache to deliver a number of highly-successful projects on the Forties field since we began work in 2009.
“As Petrofac develops its offshore capability, we are delighted that Apache has extended our responsibilities to include engineering and construction work on the Beryl field and at the Sage gas plant.”
Wood Group is understood to have previously worked on Beryl and at Sage for Apache and workers have now moved across to Petrofac.
A spokesman for Petrofac said it was anticipated that jobs would also be created, but he could not be specific on numbers.
Jim House, managing director of Apache North Sea, said: “Petrofac has consistently delivered against our expectations on the varied projects we have undertaken on the Forties development, including our biggest ever shutdown and turnaround project.
“It has also shown a relentless focus on improving safety performance and we look forward to continuing to work together to deliver our objectives across more of our North Sea assets.”
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