New Oil and Gas Decommissioning Consortium Launched

offshore platforms
Photo: By corlaffra / Shutterstock

Lloyd’s Register (LR), WorleyParsons, and Ardent have teamed up to launch a new consortium targeting the global oil and gas decommissioning market.

The consortium includes leading experts that will cover all aspects of decommissioning, from late-life management to planning, readiness for removal, execution, waste management and monitoring post removal.

“This consortium offers a new, collaborative approach to decommissioning for operators,” highlights Steve Gilbert, Director of Asset Management and Decommissioning from classification society Lloyd’s Register. “It represents a fundamental step change for the industry, aligning assurance, project management, and safe, fit-for-purpose removal and disposal.”

According to partners in the consortium, the market for decommissioning of older oil and gas infrastructure is expected to be $13 billion per year by 2040.

“Decommissioning can be daunting; the cost uncertainty, the colossal project scope and the unknown long-term liabilities,” added Gilbert. “The consortium helps to reduce the overall cost, time and liability burden for operators and allows them to focus resources on more fruitful activity, knowing that their decommissioning project is in safe hands.”

The consortium will offer the full-scope of decommissioning activities with end-to-end project management and execution for operators in Europe, Asia, and the Americas, encorporating best practices from other sectors such as float and tow, used widely in salvage.

Peter Pietka, CEO of Ardent, a leading marine salvage firm, says: “We bring to the consortium over 150 years of maritime retrieval experience, as a global leader in salvage and wreck removal. Through our expertise, we are in the unique position of being able to apply techniques and learnings from other sectors such as marine wreck removal, to improve how to tackle the increasingly important challenge of decommissioning offshore oil and gas infrastructure.”

John Cox, Global Decommissioning Lead, WorleyParsons, says: “The value for industry is that our combined expertise covers the full decommissioning lifecycle. We have the unique capability to become well duty holders and take title of offshore structures plus we offer independent assurance throughout the decommissioning process. This consortium provides a new benchmark in cost-effective decommissioning activities, with safety and peace of mind for the operator.”