Wood Group extends contract with Premier Oil in £40m deal

Oil Services company Wood Group has secured a £40m contract to deliver energy services to two North Sea platforms.

The two-year deal with Premier Oil will see the Aberdeen-based firm provide topside operations and maintenance to the Balmoral Floating Production Vessel (FPV) and the Solan installation.

The move secures the future of more than 150 jobs.

Wood Group already delivers fabric maintenance services to Balmoral FPV.

It has held that contract since 2014.

Dave Stewart, chief executive of Wood Group's Asset Life Cycle Solutions business in the eastern region, said: "This contract clearly demonstrates the strong partnership we have developed with Premier Oil in the North Sea; renewing our support of the Balmoral FPV and broadening our delivery to include the Solan field, which came on stream in April 2016.

"We have consistently and successfully assured the management of safety and integrity and applied our innovation and technical expertise to maximize uptime and production, whilst also reducing field lift costs.

"This will be our continued focus; leveraging both our late life asset management expertise and production enhancing technical solutions as we continue to collaborate with Premier Oil on the safe and effective delivery of this latest contract."

Earlier this month, Wood Group reached agreement to take over rival Amec Foster Wheeler in a £2.2bn deal.