Petrofac to Manage Montrose & Arbroath Platforms

Petrofac has officially taken over responsibility for the management of the Montrose and Arbroath platforms in a novel contract with Paladin Expro Limited.

The landmark agreement, which came into force on May 20, 2003, marks the first time that a facilities management company has assumed duty holder status for fixed platforms in the North Sea.

The Montrose and Arbroath platforms will become part of Petrofac's increasing portfolio of managed facilities in the UK sector of the North Sea. The company also manages the Northern Producer floating production facility, operating on ChevronTexaco's Galley field since 1997, and supports the operation of around 20 fields in the North Sea for a number of clients, bringing a wealth of experience to these successful operations.

John Methven, Operations Director of Petrofac Facilities Management's European Division, said: "Our assumption of management of the fixed Montrose and Arbroath platforms is a significant milestone for Petrofac and the progress of the oil industry in the North Sea.

"This innovative role really points the way forward for service companies in what is a rapidly changing industry in this part of the world. We will build on this new method of working, and reinforce our position at the forefront of the service industry as more opportunities in field management arise."

Paladin Expro Limited recently became the license operator for the Montrose, Arbroath and Arkwright Fields after acquiring a majority shareholding from BP and Amerada Hess. Paladin entered into an alliance with Petrofac and Helix RDS, the independent petroleum consultancy, to operate the fields.

Under the alliance, Petrofac is responsible for the safe and effective operation of the production facilities.

Mr. Methven added: "Petrofac has played a pivotal role in helping new operators to grow their operations in the North Sea by field acquisition and development. We have helped our customers in achieving considerable extension to field life for a number of major installations, including Hutton, Murchison and Ninian. We will be using the competence, knowledge and management systems we have developed over the past 20 years to achieve the maximum possible recovery from the Montrose, Arbroath and Arkwright fields.

"We are an ambitious company which aims to be the first choice provider of operations management, maintenance, engineering and construction services to the oil, gas and petrochemical industries worldwide."