Repsol Sinopec hands out North Sea contracts

Repsol Sinopec Resources UK has awarded contracts for the provision of all maintenance and construction labour, engineering support services and fabric maintenance, covering its North Sea offshore operated assets and the terminal at Flotta, in Orkney. 

According to the company, formerly known as Talisman Sinopec Energy UK, contracts have been awarded to at least two providers in each category to drive performance improvement and innovation.

The JV, supported by both shareholders, moved to an asset-focused organisational structure in 2015, which has been instrumental in improving HS&E performance, reducing costs and increasing production.

New, simplified labour supply contracts, replacing the previous maintenance services model, have been awarded to Amec Foster Wheeler and Petrofac.

Engineering services support covers all brownfield modifications and repair orders. According to Repsol Sinopec, awards have been made to a tiered group of contractors on a call-off basis, reflecting the asset-based structure and allowing assets to align engineering scopes with suppliers whose core competence makes them best placed to execute them efficiently.

Successful bidders are:

– Tier 1 (major integrated contractors): Amec Foster Wheeler; Petrofac; Wood Group PSN;

– Tier 2 (detailed design; construction and FEED capability): PD&MS Group; Apollo Offshore Engineering; Step Change Engineering;

– Tier 3 (fabrication-focused): Caledonian Petroleum Services; Ross-shire Engineering.

Fabric maintenance contracts have been awarded to Stork and Bilfinger Salamis.

Bill Dunnett, Managing Director of Repsol Sinopec Resources UK said: “Now is the right time to make a fundamental change to the way we manage our major service contracts. These awards will drive greater innovation and competition in the supply chain, and improve accountability within our own business. We’re also looking to the new contractors to help in the development, training and competency assurance of our teams.

“Performance of our new contracts is a fundamental element of our ongoing transformation to an effective and sustainable operation – even in the current challenging market. This is a great opportunity for the local supply chain that will help us deliver long-term value to our shareholders, partners and employees.”

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