Updated: Petrofac bags £73.5m well services deal with Siccar Point

Petrofac will manage plugging and abandonment of three wells on the Thames project
Petrofac will manage plugging and abandonment of three wells on the Thames project

UK oilfield services giant Petrofac has won a £73.5 million deal to provide a range of well services for Siccar Point Energy.

The three-year contract covers the provision of well operator and engineering project management services on the client’s west of Shetland assets.

Petrofac will be responsible for all new well work and the ongoing integrity management of existing well stock.

Nick Shorten, managing director for Petrofac Engineering and Production Services in the Western Hemisphere, said: “We are delighted to have secured this significant new scope with Siccar Point Energy and very much look forward to supporting them in successfully delivering their ambitious exploration, appraisal and development plans, safely and cost efficiently over the next three years.

“This award builds on our existing track record for delivering well operator and project management services for clients across the globe, but specifically west of Shetland, where we have significant exploration, appraisal and development experience.”

Siccar Point was set up by Jonathan Roger, formerly head of upstream for Centrica, in 2014.

The Aberdeen-headquartered exploration and production firm is backed by private equity funds Blue Water Energy and Blackstone.

Siccar Point owns and operates 70% of the Cambo field, which is thought to have 800 million barrels of oil in place.

An appraisal well was successfully drilled on Cambo, north-west of Shetland, last year.

This year’s drilling plans include exploration wells on the Lyon and Blackrock prospects off Shetland.

Petrofac has a track record of providing well services west of Shetland.

In July 2016, it signed a three year deal to with Hurricane Energy to carry out exploration, appraisal and development well activities on the client’s licences in that basin.

A four-well programme got under way at Hurricane’s Lancaster field that same month.