Petrofac (LON:PFC) has secured a three-year contract extension with Serica Energy, covering maintenance services at its northern North Sea assets.
The contract will see the London-listed oilfield services group continue to provide maintenance execution, consultancy and metering services to Serica’s Bruce platform complex, which processes production from its Bruce, Keith and Rhum assets – also known as BKR.
Serica is owner and operator of the Bruce (98%), Keith (100%) and Rhum (50%) assets which consist of over 25 wells, three bridge-linked platforms and extensive subsea pipelines and infrastructure that tie-in Rhum, Keith and the Western Area of Bruce to the Bruce facilities.
First begun in 2018, Petrofac’s contract was expanded in 2019 to include metering engineering services using dedicated onshore and offshore personnel.
The value of the extended contract was not disclosed.
Nick Shorten, chief operating officer for Petrofac’s asset solutions division said: “For more than four years, our team has been supporting Serica Energy to enhance production and extend the field life of its assets in the UKCS through safe and cost-effective maintenance services.
“We look forward to further strengthening our partnership with Serica Energy by building on this approach, and adding additional value through the delivery of predictable, efficient operations.”
In its most recent results, the service provider said it expected a “multi-year upcycle” ahead for the oil and gas industry, and a wave of “significant new orders” for its engineering and construction (E&C) unit on the back of work in the UAE and offshore wind.
Intervention work at the Bruce field recently saw Serica more than quadruple production from the 24-year-old M1 well, with production rates boosted from 400 barrels of oil equivalent per day (boepd) to over 1,800 boepd in July 2022.
Meanwhile, the company is currently undertaking drilling at its nearby North Eigg prospect at in blocks Blocks 3/24c and 3/29c in the Northern North Sea.
Serica operates the exploration well with a 100% interest, and is targeting upper jurassic turbidite sands similar to those encountered in the nearby Rhum field.
If successful, it is anticipated that the reservoir will be gas filled, with initial estimates suggesting it could hold prospective resources of 60 million barrels of oil equivalent.
However an equipment failure this week will push back completion of drilling, with results now expected to be available in December, rather than mid-October as originally planned.
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