Tullow Ghana Limited operator of the offshore Jubilee and TEN fields, has awarded a 5-year contract to Petrofac Ghana (Petrofac) to support Operations and Maintenance activities on the FPSO Kwame Nkrumah (KNK).
Petrofac is the largest amongst a number of companies, all of which are either indigenous Ghanaian firms or local joint ventures, which will assume the Operations and Maintenance (O&M) of the KNK FPSO.
This award follows the expiry of Tullow’s contract with MODEC Production Services Ghana JV Ltd (MODEC) which ended on June 30, 2022. Tullow as the field operator remains accountable for the safe and reliable operations in Jubilee including the KNK FPSO.
Commenting on the new partnership with Petrofac, Tullow Chief Executive Officer, Rahul Dhir said:
“This new partnership with Petrofac will leverage Petrofac’s years of experience in operating onshore and offshore facilities and will deliver improved operations on KNK.
“In particular, Petrofac’s experience in workforce training will be key in helping Tullow develop Ghanaian talent in leadership roles in the management of Ghana’s offshore facilities. As we embark on this change, I want to thank MODEC for the support they have provided us over the last 12 years.”
Rahul Dhir
Expiration of MODEC Contract
The transition of the management of the KNK, prompted by the expiry of the MODEC contract forms part of Tullow’s long-term vision to become a top quartile production company.
This ambition is based on the company’s safe operations, emissions control, increased reliability, and cost efficiency. The transition is expected to deliver improved safety performance, reduced operating costs and sustained production efficiency.
Nick Shorten, Chief Operating Officer for Petrofac’s Asset Solutions business said:
“I’m delighted that we are continuing to grow our presence in Africa with valued long-term partner Tullow Oil. We bring our considerable global FPSO experience to Ghana, also putting us in a good position to support other similar facilities in the region.
“Petrofac has been in North Africa for more than two decades and now we are building our presence across the continent, growing local jobs, developing local skills and collaborating with local partners.”
Nick Shorten
Tullow and MODEC worked on a smooth transition of Operations & Management services and achieved a seamless transition on July 1, 2022, according to the press release.
This latest contract follows recent awards for the decommissioning of seven wells in Mauritania on Tullow Oil’s Banda and Tiof fields, and the provision of offshore operations services for BP’s Greater Tortue Ahmeyim (GTA) Project, including an FPSO, in Mauritania and Senegal.
The work scope, with a potential value of more than $60 million, comprises project management, engineering, planning, and plugging and abandonment of seven subsea wells.
In particular, Petrofac will therefore assume responsibility for the subsea well decommissioning scope from Maersk Decom, which has been preparing the program since 2020.
The offshore activities are expected to run from fourth-quarter 2022 through first-quarter 2023. Particularly, Petrofac will supply personnel, assets and equipment, and management of the Island Innovatordrilling vessel and offshore support vessels.
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