BP extends IRM deal with Subsea 7
British oil company BP has extended a contract with Subsea 7 for the provision of subsea construction, inspection, repair and maintenance (IRM) services in the North Sea.
Subsea 7 will provide BP with an additional two years of IRM delivery, extending the contract to 2019. The deal covers the maintenance of the Schiehallion, Loyal, Foinaven and East Foinaven fields west of Shetland and will provide increased operational value and return for BP and its joint venture partners in the respective fields (Shell, OMV, Marathon Oil and Faroe Petroleum).
Project management and engineering work will be managed from Subsea 7’s Aberdeen office.
Phil Simons, Vice President UK and Canada, said: “We are pleased to extend our delivery of IRM services for BP’s west of Shetland developments. In the current commercial environment our track record in IRM and in-house capability for remote tooling design, build and operation, ensure we continue to offer low-cost solutions and respond to our client’s challenges and needs. We look forward to working with BP on maximising the production objectives for their operated fields.”
Subsea 7 did not reveal the exact value of the extension, but said the contract was sizable, meaning somewhere in the range between $50 and $150 million.