Wood Group wins £500m contract

Oilfield support services giant Wood Group said it had been awarded a £500m contract to provide maintenance services in the North Sea.

The five-year deal with Talisman Energy, which has an option to extend for a further five years, will see Wood providing operations and maintenance services on all 11 of Talisman's UK offshore assets and at the Flotta Oil Terminal on Orkney.

The contract will be worth £90m per annum and will begin 15th November 2011.

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In addition, Talisman has also extended Wood's existing engineering and modifications services contract, worth £50m a year, until the end of 2012.

Wood currently has approximately 1,400 personnel working under the contracts with

Talisman, with 1,100 based on offshore and onshore sites and 300 based onshore in Aberdeen and Glasgow.

"This is a significant piece of the jigsaw in terms of delivering improved safety and operational performance at our 12 Talisman UK sites," said Geoff Holmes, senior vice president of Talisman.