North Sea crane work secured

North Sea stalwart Sparrows Group has secured “significant” contract renewals likely to generate some £30 million in revenues.

The firm, which has been active in the North Sea for more than four decades, said the agreements with two unnamed “long standing major operators” in the UK Continental Shelf (UKCS) were for the provision of crane management services over periods of one and five years.

Both contracts will see the company deliver a range of services covering a total of 73 cranes situated on manned and normally unmanned installations across both the north and southern sectors of the North Sea.

Stewart Mitchell, chief executive at Sparrows, said: “These contract renewals are significant to our business as they demonstrate that our clients continue to see the long-term value in our operations.

“Cranes are a vital component across the production and decommissioning phases of a field and as activity continues to increase it is imperative that critical equipment is correctly maintained to ensure integrity and safety at all stages of the lifecycle.”

The company has been operating in the North Sea for 44 years and currently employs more than 400 specialist offshore personnel in the UKCS. Meanwhile, Aberdeen-based KCA Deutag said its offshore business unit had been awarded an extension to its existing contract with CNOOC Petroleum Europe for the Scott platform, which it operates in the North Sea.

The contract extension, for the provision of drilling operations and maintenance services, came into effect on 1 March and has an initial term of four years plus a two-year extension option.

Rune Lorentzen, president of offshore, said: “We have been the drilling contractor on the Scott platform since 1992 and are delighted with the commitment to retain us once again.”