Energy solutions provider T7 Global’s subsidiary, Tanjung Offshore, has received a work order award from Petronas Carigali for the provision of plug and abandonment integrated services for Pulai A.
The value of the award is approximately RM50 million ($12.2 million) based on the agreed rates as stipulated in the work order, T7 said on Tuesday.
The contract award is effective from 29 March 2021 to 28 December 2021.
The work order is awarded to Tanjung Offshore under the Pan Malaysia Umbrella Contract for the provision of integrated well services for intervention, workover and abandonment for Petroleum Arrangement Contractors (PACs) where Tanjung Offshore was appointed by Petronas Carigali as one of the panel contractors back on 20 September 2019.
Under the Pan Malaysia Umbrella Contract, Tanjung Offshore will be participating in upcoming jobs for integrated well services for well workover and well abandonment from PACs in Malaysia.
T7 Global Chairman, Datuk Seri Dr. Nik Norzrul Thani Bin N. Hassan Thani , said: “This win will cement our position as an integrated well services player in Malaysia and reaffirms our technical capabilities to undertake complex offshore projects in the energy value chain.
“Integrated well services, which covers both production wells and abandonment of old wells, will form part of our long-term energy solutions for oil majors.
“We are optimistic of the local oil and gas industry due to the steady outlook for the next 3 years as Petronas remains committed to maximise its oil production and there are more than 500 wells planned to be plugged permanently by 2030 due to the increasing trend of idle wells”.
In recent Petronas-related news, the Malaysian oil and gas player suspended the oilfield services contractor Deleum Primera from participating in future tenders due to an investigation by an anti-corruption regulator over alleged unethical and integrity issues.