Petrofac nets new 5-year deal with Ithaca Energy

Oil and gas company Ithaca Energy has signed a five-year integrated services contract with oilfield services provider Petrofac.

In the new five-year deal, Petrofac will integrate operations, maintenance, engineering, construction, and onshore and offshore technical support across Ithaca’s North Sea operated asset base.

Petrofac said on Tuesday that the contract extends its existing working relationship with Ithaca, as well as the duration and breadth of services it provides for the Alba, Captain, Erskine and FPF-1 assets, building on the operations, engineering and support services it has been providing since 2011.

Having expanded its in-house capabilities, Ithaca will assume Safety Case responsibility for the FPF1 asset, whilst Petrofac continues to provide all services and 96 offshore team members for the asset under the new contract.

In a separate statement on Tuesday, Ithaca said that, in conjunction with the implementation of the new services contract, it has made the strategic decision to become “duty holder” for the FPF-1 floating production facility.

The FPF-1 is located in Block 30/6a and serves the Ithaca-operated Greater Stella Area production hub.

Bill Dunnett, Chief Executive Officer, Ithaca Energy, said: “The breadth of this agreement is an excellent example of the long-standing collaboration between Ithaca Energy and Petrofac, which is designed to realise economies of scale, maximising the value and potential of our assets.

“It provides the opportunity to drive further efficiencies and leverage our in-house capabilities through the transfer of the FPF-1 duty holder. Our continued strong partnership with Petrofac is key in delivering safe, simplified and streamlined operations”.

In the UK North Sea, Ithaca Energy has working interests in 18 offshore producing fields, including seven operated fields and eleven non-operated fields. Ithaca Energy’s net daily production in 2019 averaged 75,000 barrels of oil equivalent.