Sapura Energy and Norway’s AF Offshore Decom have launched a new decommissioning venture, Kitar Solutions.
The companies teed up the project at OTC Asia 2024, currently under way in Kuala Lumpur.
Sapura said the agreement would bring its insights and assets together with the “expertise of a North Sea leader”. There is a growing demand, it said, “for integrated services in line with global sustainability goals and the energy transition agenda”.
Kitar will offer engineering, preparations, removal, and disposal (EPRD) services. It will have access to Sapura’s heavy lift vessels, and fabrication yard in Lumut.
Sapura said the aim was to simplify the decommissioning process.
“Our ultimate goal is to establish a regional hub that not only meets rigorous environmental and social governance standards but also propels the sustainable evolution of the energy sector,” the company said.
Norway’s AF Offshore Decom said that, with Kitar, it was ready to “provide exceptional decommissioning services across the APAC region, ensuring adherence to the European Union’s rigorous environmental and social governance standards”.
Lessons from the past
Working with Sapura on the project will make a “significant contribution towards a sustainable, green transition”.
AF Offshore Decom had a first shot at teaming up with another company via Fairfield Decom in 2019. This was a venture with Fairfield Energy and Heerema Marine Contractors. The project aimed to offer integrated decommissioning and operating capacity for ultra-late life North Sea assets.
Fairfield Decom wound up in 2021 after failing to break through. AF Offshore Decom’s then managing director Lars Myhre Hjelmeset, speaking in 2022, said the unit was still open to co-operation.
“We firmly believe that for decommissioning delivery, a partnership model will be the key to success. Our door is firmly open to exploring the right relationship with the right party,” he said. Hjelmeset moved to a role at AF Gruppen, AF Offshore Decom’s parent company.
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