Petrofac Wins $200M Offshore Decommissioning Contract in U.S. Gulf of Mexico

Credit: Petrofac (file image)
Credit: Petrofac (file image)

Oilfield services giant Petrofac has formed an alliance with decommissioning firm Promethean Decommissioning Company (PDC) to decommission the South Pass 60, South Pass 6, and East Breaks 165 offshore fields, in the U.S. Gulf of Mexico.

According to Petrofac, the legacy offshore fields and assets include nine platforms, 200 wells, and 32 pipeline segments.

PDC will be the decommissioning operator responsible for fulfilling the field decommissioning orders received from the U.S. Department of the Interior’s Bureau of Safety and Environmental Enforcement in February 2022.

PDC has appointed Petrofac as the Decommissioning Services Provider in a contract valued at around US$200m in line with the BSSE (Department of Biosystems Science and Engineering’s) estimated decommissioning cost.

The alliance has selected Danos, a Gulf of Mexico offshore services provider to support the project.

" [Danos'] longstanding relationships in the Gulf of Mexico and comprehensive range of services positions them to provide the expertise needed for the program," Petrofac said. The project will be led from Houston.

Nick Shorten, Chief Operating Officer for Petrofac’s Asset Solutions business, said: “This significant contract recognises our industry-leading decommissioning program management experience and our unique in-house capability to manage all well and asset decommissioning phases. It’s been more than four decades since Petrofac first began in Texas and in that time we have expanded our offshore capabilities across the globe. This expertise will be applied to the project, complemented by our already strong onshore presence in Texas.

“We look forward to working with PDC as part of our Alliance to deliver a new approach to large-scale decommissioning programs in the Gulf of Mexico.”


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