Wood Group GTS has struck a multimillion-pound North Sea maintenance deal – the firm’s first major contract since announcing plans to team the division with engineering giant Siemens.
Bosses have signed a five year contact with Talisman Sinopec to provide turbine maintenance support services for 22 Siemens Ruston gas turbines operating on the Buchan, Clyde, Tartan and Flotta installations in the North Sea.
Work will start next month.
The contract award marks a milestone in the relationship between Wood Group GTS and Talisman Sinopec Energy and follows a 10-year turbine fleet maintenance contract between the two companies which concludes later this year.
Talisman Sinopec Energy is one of the North Sea’s largest operators, with 46 fields with 11 offshore installations and one onshore terminal.
Iain Murray, president of oil, gas and industrial services for Wood Group GTS, said: “This is a very positive step in strengthening our long-term relationship with Talisman Sinopec Energy UK.
“We share their goal of a zero incident safety and environmental performance and look forward to helping optimise their maintenance strategy.”
Wood Group GTS will provide a comprehensive scope of work, including contract management services, preventive maintenance scheduling and execution, 24/7 technical support, unplanned breakdown support, and engine supply and overhaul services.
The firm announced earlier this month that it was joining forces with Siemens to create a £685million gas turbine super-firm.
The Wood Group will marry the maintenance and power solutions arm at Wood Group’s GTS division and Siemens’ Turbocare business unit.
Wood Group – which designs, builds and maintains oil and gas facilities and pipelines – has found it difficult to compete with companies that manufacture their own gas turbines as it is paid lump sums for contracts, which squeezes margins if the work is delayed or costs overrun.
The deal is expected to go through early next year.