Two oilfield services providers, Petrofac and Danos, have signed a Memorandum of Understanding (MoU) to progress discussions towards the formation a Joint Venture (JV) agreement.
The alliance will allow the pursuit of joint opportunities to deliver services across the oil and gas asset life cycle, with a focus on supporting operations and asset management solutions in the Gulf of Mexico and U.S. shale plays.
According to their joint statement on Tuesday, the two companies are seeking to combine their collective strengths in a JV to provide a differentiated service offering to hydrocarbon resource holders. These augmented service capabilities would be deployed to support operations across all phases of the asset life cycle including late life and decommissioning.
Danos brings a 70-year track record in Gulf of Mexico operations, with 11 integrated service lines including maintenance labor services and onshore fabrication. Petrofac, through its Engineering and Production Services business, contributes its 36 years of experience in asset management solutions to lower OPEX, lifting costs and improve efficiency.
Dave Blackburn, Senior Vice President, Petrofac Engineering and Production Services, said: “The ‘lower for longer’ operating environment requires a different approach to be taken and we see this as an ideal time for our two companies to come together in this alliance. As many companies are forced to consider how to reduce operating and lifting costs, or improve efficiencies, the blend of our capabilities, from skilled, competent local people through to fully holistic asset-led solutions provides us with a clear platform from which we can respond.”
Paul Danos, Executive Vice President, Danos said: “At Danos, part of our purpose is to ‘solve big challenges for our customers’. We see a clear need for new and creative solutions to address the developing challenges brought on by the current market realities. I am excited about the strong capabilities that this alliance creates to offer relevant solutions to our customers.”