A.P. Moller – Maersk has opted to close the oil rig decommissioning business it launched in 2018.
Named Maersk Decom, the company was launched as a 50-50 joint venture between Maersk Drilling and Maersk Supply Service in anticipation of a growing number of offshore oil and gas decommissioning projects as more and more aging offshore fields approach the end of their economic lives.
The company initially planned to cover up to 80% of the decommissioning process, including project management, well plug and abandonment, towage of floating units and removal of subsea infrastructure, with full end-to-end services planned.
But according to a notice posted on Maersk Decom’s website, the company is now set to close after it transferred its responsibility for the Banda Tiof project in Mauritania to Petrofac in April. The project was Maersk Decom’s last commitment.
The company’s website and social media channels are expected to close down effective June 1. However, Maersk Drilling and Maersk Supply Service will both continue to pursue decommissioning work “within each of the companies’ sphere of operations.”
The closure of Maersk Decom comes as activity in the offshore oil and gas market is picking up amid rising oil prices and increasing global demand for oil and gas.
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