Wood Group, of Aberdeen, announced a £75million deal yesterday with oil giant Shell which will keep more than 350 people in work.
Global production-facility support division Wood Group PSN has secured a contract extension from Shell for engineering and construction services at the St Fergus and Mossmorran gas plants.
Just over 360 people work on the contract: 73 at St Fergus, 78 at Mossmorran, with onshore support provided by 211 workers in Aberdeen, Glasgow and at Runcorn.
The two-year deal is effective from April and includes an option for a further two-year extension.
The award marks a continuation of the previous contract awarded to Wood in 2007.
Robin Watson, UK managing director at Wood Group PSN, said: “We have an established working relationship with Shell that spans two decades and the award of this extension demonstrates Shell’s ongoing confidence in Wood Group PSN.
“Maintaining a focus on continuous improvement ensures we can support Shell’s rejuvenation project to extend the life of the plants, and deliver plant modifications and maintenance-support programmes.”
Across the UK, Wood Group PSN has a workforce of almost 8,000 with around 3,000 onshore and 5,000 offshore.
Wood Group is an international energy services company employing more than 38,000 people.
Meanwhile, oil firm Sterling Resources said that it had contracted a semisubmersible rig to drill an exploration well in the UK North Sea’s South Cladhan area.
Sterling, which is based in Calgary, Canada, but has operational headquarters in Aberdeen, added that the Transocean Sedco 704 rig was due on site next month. The exact timing depends on its schedule for Premier Oil.
It will be the first well to be drilled on block 201/29c, in which operator Sterling has a 25% stake.
Valiant Exploration owns 30% and Wintershall UK North Sea and Agora Oil and Gas UK, have 25% and 20% stakes respectively.