AFG Inks Decommissioning Deal with Shell for 6 Offshore Platforms

AF Gruppen/AF Group (AFG) has signed a contract with Shell U.K. Limited (Shell) regarding the decommissioning of 6 platforms from the Indefatigable gas field in the British sector of the North Sea.

AF Decom Offshore UK Ltd, which is a part of the AF Group's environmental business, will carry out the activities for the Inde Decommissioning project. The value of the contract is expected to be approximately 200 MNOK.

Preparatory work will start in February 2009. The project is scheduled for 3 years.

As part of the work, AF Decom Offshore is set to recycle around 13,000 tons of steel and equipment from the Inde structures.

"This is an important decommissioning project for AF Group at the UK part of the North Sea. The agreement strengthens our strategic target of delivering environmental services and it is a recognition of our competence in dismantling and recycling offshore steel structures internationally. The contract forms the basis for further growth in our environmental business in the North Sea," said Pal Egil Ronn, CEO of the AF Group.