LONDON, June 19, 2012 /PRNewswire/ --
Following the announcement by Petróleos Mexicanos ('PEMEX'), Petrofac (LSE: PFC)
confirms that, together with its partner Schlumberger (NYSE: SLB),
it has been declared the selected bidder on the Pánuco integrated
production service contract in Mexico. The contract, which runs for 30 years,
is expected to be signed in late August
2012 and field operations are expected to start around the
beginning of 2013.
The Pánuco Contract Area contains four mature onshore fields
operated by PEMEX, and discovered in the early 1900s with original
oil in place of approximately 6.8 billion barrels. The fields
have about 1,600 wells of which around 200 are currently producing
a total of approximately 1,500 barrels of oil per day.
Petrofac and Schlumberger will develop the fields jointly
with Petrofac as the lead Operator.
Petrofac will be reimbursed for 75% of its development
expenditure through a cost recovery mechanism and receive a tariff
for each barrel of incremental production. Under the terms of
the contract, Petrofac has committed an initial investment of
approximately US$17.5 million for the
first two years on the Pánuco fields. For the remaining 28
year period, capex has been committed on a per barrel basis,
contingent on the quantum of remaining undeveloped 2P reserves.
This award demonstrates Petrofac's continued success and
commitment to Mexico. In
August 2011, Petrofac was awarded two
integrated services contracts by PEMEX to develop the Magallanes and Santuario blocks in central
Mexico. Petrofac
successfully completed the transition and assumed operational
responsibility for the blocks on 1 February
2012.
Andy Inglis, Chief Executive of
Integrated Energy Services, commented:
"I am delighted to develop further our relationship with PEMEX
and bring our field management capability to support the
development of Mexico's oil &
gas resources. This contract is the first example of our
agreement with Schlumberger to work together to deliver integrated
and high-value production projects. I believe that our
complementary skill sets and proven execution capability will
maximise the potential of these fields for PEMEX."
Notes to Editors
Petrofac
Petrofac is a leading international service provider to the oil
& gas production and processing industry, with a diverse
customer portfolio including many of the world's leading
integrated, independent and national oil & gas companies.
Petrofac is quoted on the London Stock Exchange (symbol: PFC) and
is a constituent of the FTSE 100 Index.
The group delivers services through two divisions: Engineering,
Construction, Operations & Maintenance (ECOM - comprising
Onshore Engineering & Construction, Offshore Projects &
Operations, Offshore Capital Projects and Engineering &
Consulting Services) and Integrated Energy Services (IES). Through
these divisions Petrofac designs and builds oil & gas
facilities; operates, maintains and manages facilities and trains
personnel; enhances production; and, where it can leverage its
service capability, develops and co-invests in upstream and
infrastructure projects. Petrofac's range of services meets its
customers' needs across the full life cycle of oil & gas
assets.
With more than 15,000 employees, Petrofac operates out of seven
strategically located operational centres, in Aberdeen, Sharjah, Woking, Chennai, Mumbai, Abu
Dhabi and Kuala Lumpur and
a further 24 offices worldwide. The predominant focus of Petrofac's
business is on the UK Continental Shelf (UKCS), the Middle East and Africa, the Commonwealth of Independent States
(CIS) and the Asia Pacific
region.
For additional information, please refer to the Petrofac website
at http://www.petrofac.com.
For further information contact:
Tulchan Communications +44(0)20-7353-4200
Stephen Malthouse
Martin Robinson
petrofac@tulchangroup.com
SOURCE Petrofac Limited