Danish firm Maersk Drilling has partnered with Maersk Supply Service to establish a 50:50 joint venture (JV) company to deliver decommissioning services to oil and gas operators.
The new JV will use the high-quality assets and technical capabilities of the two companies to initially provide bundled solutions for up to 80% of the process required in decommissioning an oil field.
In addition to project management, the bundled solutions involve other works such as plug and abandonment of wells, towage of floating units and removal of subsea infrastructure.
The new JV eventually intends to provide the full end-to-end process of decommissioning.
Maersk Drilling chief executive officer Jørn Madsen said: “With the growing need for decommissioning mature fields, governments and oil and gas operators are looking for experienced partners to manage and perform this challenging task.
“By leveraging the strong track record of the two companies, as well as our complementary asset base and competencies, we can lower the risk and reduce the overall cost for the customers.”
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Under the collaboration, Maersk Drilling and Maersk Supply Service intend to invest an equal amount in the JV company over the coming year.
The joint investment is expected to be approximately $20m and will cover the first years of operations.
Based at the Maersk Drilling and Maersk Supply Service joint headquarters in Lyngby, Denmark, the JV will serve as a lean and scalable base organisation which will cover only core capabilities and operate by drawing upon support from the two companies.