Wood Group PSN (WGPSN) announced that it has entered into a non-binding Memorandum of Understanding (“MoU”) with ABT Oil and Gas Ltd (“ABTOG”) to create a 50/50 jointly controlled entity.
It is proposed that the new entity will deliver services dedicated to the development of projects for stranded and marginal hydrocarbon fields, initially in the North Sea utilising ABTOG’s intellectual property for buoyant technology and the engineering, project management and delivery execution expertise of WGPSN. The new entity will not participate in field ownership.
Dave Stewart, WGPSN UK’s managing director said: “This is an exciting new development for Wood Group PSN, aimed at maximising recovery of marginal field reserves in the UKCS, reducing running costs for operators and making previously sub-economic fields financially viable.”
Alan Minty, representing ABTOG, commented: “WGPSN is the largest provider of brownfield services to the energy, oil & gas industry in the UK and is the ideal partner enabling the provision of services throughout the entire asset lifecycle, from project management, concept, appraisal and FEED studies to detailed design, construction, installation, commissioning, and operations and, eventually decommissioning and redeployment.”
WGPSN employs approximately 12,000 people onshore and offshore in the UK. The company has offices in Aberdeen, Glasgow, Runcorn and Hull.