Oilfield support services behemoth Wood Group has got the gig to provide oil and gas colossus Shell with sub-sea, umbilical, riser and flow-line (SURF) engineering and construction management services worldwide.
The primary focus of the five-year frame agreement is on the Asia Pacific region, along with other project-specific awards in Europe. Shell has an option to extend the agreement by a further five years at the end of the initial contract period.
Wood Group Kenny has already started work for Shell as part of the agreement, with a Front End Engineering Design study for the high temperature, high pressure Linnorm project in Norway, as well as work on the world's first floating liquefied natural gas project in Australia.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
In addition, Wood Group Kenny is supporting Shell on the Gumusut project in Malaysia, and will provide sub-sea and top-sides support for the Sub-sea Well Response Project, a multi-company initiative focusing on worldwide sub-sea well control incident intervention in the North Sea.
Wood Group gave no indication of the value of the contract, but Steve Wayman, Chief Executive Officer of Wood Group Kenny, the unit which has won the contract, described it as " a very important agreement for Wood Group Kenny as it will give us the opportunity to work on some of the most interesting and challenging projects in the world."
jh
