Veolia and Peterson SBS invest following Shell decommissioning contract
5 Jan 2011
London – Veolia Environmental Services (UK) Plc with its offshore decommissioning partner, Peterson SBS are to invest in facilities on North Tyneside creating a number of new jobs and boosting the local economy.
The move follows the award of a contract by Shell UK for the onshore dismantling of structures from their Indefatigable (Inde) gas field in the Southern North Sea.
Shell operates the Inde field on behalf of itself and its co-venturer Esso Exploration and Production UK Ltd.
The work will be carried out at the former Swan Hunter shipyard at Wallsend. Veolia Environmental Services (UK) Plc anticipates creating directly thirty-five jobs as well as sub contracting work.
Veolia will operate the facility by arrangement with North Tyneside Council and anticipate this contract will provide them with an important foothold in the Southern North Sea decommissioning market. The company already operates a similar facility in Shetland covering the Northern North Sea.
The contract will start with preparation work in January 2011, with Veolia’s decommissioning partner, Peterson SBS, planning to offload eight gas field ’jackets’ (rig legs) and eight topside structures with a total tonnage of around 10,500 from April to October next year.
Veolia will operate the facility under an Environment Agency permit with a bespoke health and safety and environmental management system and comprehensive environmental reporting.
Jean-Dominique Mallet, CEO of Veolia Environmental Services UK said: “The UK North Sea decommissioning market offers considerable opportunities and we are delighted to be extending our decommissioning capabilities to cover the entire UK North Sea oilfield by supporting Shell and partners on this sustainable new contract.”
UK energy minister, Charles Hendry added: “Decommissioning our redundant offshore structures is set to develop into a multi billion pound industry over the next few decades. It is encouraging to see that this contract has been won by a UK-based company and I hope to see this become a growing trend.”