LR Senergy wins $7m Middle East deals

LR Senergy,  the Aberdeen-headquartered firm announced that it has been awarded a number of contracts worth a combined $7 million in the Middle East, Europe and Asia (MEA) as it continues to adapt to the difficult and changing market conditions.

They have provided its services globally, and the majority of its work has historically taken place in Europe and Africa – a large proportion of which was centred in the North Sea, but the situation is changing following an increased portfolio of contracts being secured in the Middle East and Asia Pacific, said a statement from the company.

The current low oil price and the comparatively high operating costs associated with the North Sea’s mature basin have impacted the market in the UK, and consequently the company has widened its focus to other regions that are less affected, it added.

This is the result of a longer term strategy within the company to diversify not only in regard to its product offering but also in its geographical areas of activity, it said.

Recent contracts include the Abu Dhabi Marine Operating Company (ADMA-OPCO) and other significant deals with the Kuwait Energy Company and Dragon Oil, and these cover work scopes ranging from well engineering to geomechanics, in areas as diverse as the Middle East and the Caspian Sea, said the statement.

The contracts build on ongoing operations in disciplines such as survey and geoengineering, production optimisation, reservoir services, facilities engineering and alternative energy solutions, it said.

The company is also delivering wells project management for Dana Gas on its Zora Gas Field Development Project in the Middle East as well as supporting large subsurface projects in Kuwait, it added.

In addition to the Middle East, LR Senergy has been contracted by Chrysaor to drill the ‘Mustard’ exploration well west of Shetland and has secured a significant contract with JX Nippon to project manage a deep-water exploration well west of Shetland in 2016.

The company continues to work closely with the UK HSE to provide well engineering and integrity expertise in the assessment of UK onshore gas storage sites under industry guidelines, after its contract was renewed for a second time.

Steve Gilbert, the company’s vice president of operations, said that like many energy focused organisations operating in today’s business climate, the company has had to make some difficult choices and closely examine its strategy.

“We have seen clear and dramatic movement in the market in recent months with the majority of oil and gas companies required to review their business models, ourselves included.

“This has required us to adjust our costs, make changes to our workforce and pursue business in regions less affected by the current oil price pressure and we will continue to respond to these challenging market conditions,” he said.

“We have seen a growing desire within some areas for organisations to be more technically independent and this is where our proven delivery of impartial operating experience can be beneficial,” he added.

“As a global organisation with offices and clients across the world we are able to provide our services wherever they are required. We continue to have a significant presence in the North Sea and are working to expand into other areas which can be serviced from our hubs in Kuala Lumpur, Dubai and Abu Dhabi,” Gilbert concluded.

Source:  Trade Arabia