Wood Group PSN (WGPSN) is expected to take over as duty-holder of the Central Area Transmission System (Cats) North Sea pipeline system under a long-term deal worth an estimated £250million.
A spokeswoman for WGPSN – part of Aberdeen-based energy service giant Wood Group – said last night the contract was still subject to third party approvals.
But Antin Infrastructure Partners, which took control of the Cats infrastructure last month, have already told staff working at Cats about the move.
Last month oil giant BP sold its 36.22% stake in the pipeline system to the private-equity firm for £324million, with its operatorship reported to be transferred to a new contract operator sometime this year.
It is understood WGPSN will carry out the operation and maintenance after agreeing to a 10-year contract.
Cats serves 34 producing North Sea fields and transports about 8% of the UK’s gas demand.
The key pipeline is 99% -owned by Antin, after it initially took up BG Group’s 62.78% interest in a £562million deal last year.
ConocoPhillips and Eni own 1% of the pipeline system between them.
A spokeswoman for WGPSN said: “We can confirm that Antin Infrastructure Partners has informed staff at the CATS terminal that, subject to third party approvals, Wood Group PSN will be appointed as duty holder of the CATS infrastructure.”
Antin’s Cats management team is being led by Andy Hessell, whose 26 years of industry experience includes a recent spell as vice-president, commercial operations North Sea and Angola, at BP.
The Cats pipeline begins at a riser platform adjacent to the BG operated Everest gas field in the central North Sea and transports gas some 250 miles to a processing terminal on Teesside.
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