25th Feb 2014 08:20
LONDON (Alliance News) - John Wood Group PLC said Tuesday its Wood Group PSN business has been awarded its first major UK contract of the year.
The contract is a five year extension of a current contract with Talisman Sinopec Energy UK, valued at USD500 million and includes an option for two additional, two year extensions, said the firm.
Wood Group PSN is a provider of pre-operations, hook up and commissioning, operations and maintenance, engineering, construction, project management, training and decommissioning services to the energy industry.
Under the terms of the contract, WGPSN will provide engineering and modification services to Talisman Sinopec Energy UK's 11 offshore assets - Arbroath, Auk, Bleo Holm, Buchan, Claymore, Clyde, Fulmar, Montrose, Piper B, Saltire and Tartan platforms - in the UK North Sea, and onshore at the Flotta oil terminal on Orkney, said the company.
Through the renewal, which is effective immediately, the WGPSN business is able to retain approximately 550 jobs both onshore and offshore in the UK.
WGPSN has another contract with Talisman Sinopec Energy UK, covering operations and maintenance services to the same 12 assets.
Dave Stewart, UK managing director of WGPSN said, "We have worked with this key client for 10 years and this award is testament to the relationship we have developed. Our Talisman Sinopec Energy UK project now employs 1,300 personnel onshore and offshore making it one of the largest projects in our global portfolio. Securing this contract is a great way to kick off 2014."
Shares in John Wood Group were trading down 0.26% at 754.5 pence per share Tuesday morning.
By Alice Attwood; [email protected]; @AliceAtAlliance
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