OSLO, Norway, March 29 —Norwegian oil services company Aker Solutions said it secured a deal to help British energy company BP advance its global oil and natural gas portfolio.
Aker said BP handed a five-year fixed contract over to cover subsea services for the British company’s global holdings in offshore oil and natural gas. Aker CEO Luis Araujo said the agreement, which has a two-year extension option, builds on a 15-year relationship with the British supermajor.
“We are delighted to partner with BP in finding cost-effective solutions to boost productivity and optimize the infrastructure of the company’s subsea fields,” he said in a statement.
Lower crude oil prices have left companies servicing the energy sector with less capital as spending declines for exploration and production. In the British energy sector alone, BP rival BG Group this year merged with Royal Dutch Shell to streamline operations during the market downturn.
Halliburton and Baker Hughes, two of Aker’s industry rivals, aim to join forces in similar fashion.
Last week, Paal Kibsgaard, the chief executive at industry leader Schlumberger, told delegates gathered for an energy conference in Singapore the “massive over-capacity” in the market suggested there were few signs of a recovery for crude oil or the services sector on the immediate horizon.
Aker said it and BP agreed not to disclose the full terms of the contract.
[Source:- UPI]