Petrofac has announced the award of a “multi-million dollar” North Sea contract from Ithaca Energy.
The five-year Integrated Services Contract will support around 200 jobs, both offshore and onshore, across Ithaca’s UK assets providing operations, maintenance, engineering and construction services.
Petrofac said this extends the company’s working relationship with Ithaca Energy, where it has been providing services for the Alba, Captain, Erskine and FPF1 assets since 2011.
Ithaca last year increased its portfolio through the acquisition of Chevron’s North Sea assets in a £1.6bn deal.
The firm has now also taken the “strategic decision” to become duty holder of the FPF-1 production facility in the Greater Stella Area, displacing Petrofac in that role.
However, Petrofac said the contract will see it continue to provide the 96 offshore workers to the FPF-1 asset, which the firm sold its 20% stake in back in 2018.
Nick Shorten, managing director of Petrofac’s EPS business in the Western Hemisphere, said: “Now more than ever, it is vital that operators can have confidence in the supply chain to generate value for them. We’re achieving this for our clients by combining our integrated approach with the latest digital technology to drive efficiencies and increase productivity.
“Ithaca’s decision to expand our service provision demonstrates its confidence in our ability to provide integrated support services that enhance operational effectiveness. We look forward to building on our long-standing working relationship by supporting our client to maximise the value of its assets.”
Ithaca Energy recently announced its new chief executive in Bill Dunnett, who stood down from Repsol Sinopec Resources UK in March.
He said: “The breadth of this agreement is an excellent example of the long-standing collaboration between Ithaca Energy and Petrofac, which is designed to realise economies of scale, maximising the value and potential of our assets.
“It provides the opportunity to drive further efficiencies and leverage our in-house capabilities through the transfer of the FPF-1 duty holder. Our continued strong partnership with Petrofac is key in delivering safe, simplified and streamlined operations.”
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