Petrofac Breaks Into Permian Shale Market with Latest Acquisition
International oilfield services provider Petrofac Limited announced Wednesday that it has entered into the world’s largest producing basin with the acquisition of W&W Energy Services.
The purchase price was not disclosed.
W&W Energy Services offers maintenance, repair and overhaul and pipeline tie-in services to the Permian Basin.
The acquisition aligns with Petrofac’s strategy ramp up its Engineering & Production Services offerings.
“Given the Permian’s increasing production volumes, infrastructure support requirements and the rising activity of major operators, this acquisition provides a platform to grow EPS,” said John Pearson, Perofac’s COO, Engineering and Production Services.
W&W Energy Services will be managed from Petrofac’s existing Houston base.
Petrofac also announced Wednesday EPS awards and contract extensions worth more than $120 million.
- EPS has secured its first small-scale Engineering, Procurement, Construction (EPC) contract in Malaysia – the contract was awarded by Asean Bintulu Fertiliser (ABF) Sdn Bhd for its Third Boiler Project. Work scope for the 30-month project includes basic and detailed engineering, procurement, construction and commissioning of an additional package boiler.
- EPS has also secured a new three-year Engineering, Procurement, Construction and Commissioning (EPCC) Framework Agreement with a North Sea operator.
- The new brownfield projects awards coincide with key North Sea contract extensions for EPS, including a two-year renewal of an existing seven-asset Operations and Maintenance contract, and the extension of EPS’ existing Engineering Services contract with Chevron North Sea to June 2020.
“Continued diversification into new markets, such as brownfield projects, and new geographies, such as Malaysia, are key tenets of our growth strategy,” said Pearson. “We’re also once again delighted that clients in the North Sea have exercised the option to extend our support for important Operations and Maintenance and Engineering Services contracts.”
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