EnQuest Awards Long-Term Decommissioning Contract to Well-Safe Solutions

London Stock Exchange-listed energy player EnQuest has recently announced the awarding of a significant long-term decommissioning contract to Aberdeen-based decommissioning services provider Well-Safe Solutions. This strategic partnership is set to shape the future of decommissioning activities in the North Sea region.

Contract Details

Under the terms of the contract, the Well-Safe Defender will be deployed to work with EnQuest for a minimum of 100 days in 2026 and 130 days in 2027. The agreement also includes options for additional activity between 2028 and 2034, with an estimated revenue generation of over $45 million.

Strategic Partnership

Well-Safe Solutions views this multi-year contract as a crucial step in securing essential supply chain resources in the North Sea well into the next decade. The company’s decision to offer full well lifecycle services in response to increasing demand for integrated, multi-phase campaigns has paved the way for this long-term partnership.

Phil Milton, CEO of Well-Safe Solutions, expressed his confidence in the partnership, stating, “This contract is a testament to the trust our clients place in us and the consistent performance of our teams. It marks a pivotal moment in our journey and sets the tone for the next phase of our growth.”

Operational Excellence

EnQuest’s North Sea Managing Director, Steve Bowyer, highlighted the company’s track record in decommissioning operations, emphasizing innovative technologies and operating techniques that have delivered top-quartile performance. EnQuest has successfully completed the plugging and abandonment of over 35% of all wells decommissioned across the northern and central North Sea in the past three years.

Industry Outlook

Well-Safe Solutions acknowledged the challenges faced by the sector this year but remains optimistic about the projected increase in demand from 2026 onwards. The availability of mobile offshore drilling units (MODUs) has decreased, with only a limited number of semi-submersibles in the region, many of which are either committed long-term or stacked.

Future Developments

In parallel to its decommissioning activities, EnQuest recently secured a production sharing agreement for Block C in Brunei Darussalam, covering three offshore fields. The company is expected to make a final investment decision for the development of this project within the next two years, further solidifying its presence in the energy sector.