Oil and gas giant Chevron has through its Israeli subsidiary Noble Energy Mediterranean awarded Israel Shipyards a coating program contract for its offshore and onshore assets.
Under the 16-month agreement, Israel Shipyards will provide coating repair services for these facilities. Israel Shipyards did not share the financial details of the deal.
To remind, U.S. oil major Chevron last year acquired rival Noble Energy, gaining access to Noble's "low-capital, cash-generating offshore assets in Israel," namely the Leviathan and Tamar offshore gas fields, and associated infrastructure.
Commenting on the contract award with Chevron, Israel Shipyards’ CEO Eitan Zucker said the deal marked the company's entry in a new field of activity for the offshore gas operations in Israel.
"This is the first time we will carry out maintenance work on production platforms, which will involve significant scope and duration. The work will be done in collaboration with a British company with the requisite expertise that will assist us in carrying out the project and implementing the localization program that includes training of Israeli workers, project managers, and coating inspectors and their gradual integration into the project," Zucker said.
Zucker said that Israel Shipyards would also assist with compliance with international standards for quality and safety, acquisition of know-how, and authorization to perform such work scope almost independently following completion of the project.
"This project is a stepping stone for providing offshore maintenance and construction packages in additional areas," said the CEO of the company.
According to Israel Shipyards, the company has been providing logistic support, manufacture, and repair services for Chevron [through Noble] and its oilfield service companies since 2002, including fabrication of large marine steel structures, tubular inspection & repair services, and a successful key project for the kit and final fabrication, painting, testing and load-out of rigid jumpers for the Tamar and Noa fields.