Valmec Secures Asset Services Contract with Origin Energy

Source: 12/8/2020, Location: Not categorized

Valmec, a leading energy, resources and infrastructure services group, has secured a Master Goods and Services Agreement with Origin Energy for the provision of compression facility, wellsite mechanical and electrical maintenance services.

The Agreement, with an estimated value of over $100 million, is for an initial term of 5 years and covers the provision of services at Origin’s Spring Gully gas facilities in South West Queensland. The Agreement may be extended further by Origin via two oneyear extension options.

Importantly, the new agreement supports Valmec’s long term commitment to the Maronoa and Western Downs regions to support local employment and community spend through works being delivered from Valmec’s operations facility in Roma, Queensland.

The agreement is the first major Asset Services contract secured by Valmec after last week unveiling an updated corporate strategy focussed on building out the Asset Services division to transition the Company into a full asset lifecycle provider (see ASX announcement ‘Valmec Strategy Update’,27 November 2020). The Origin contract also provides a significant boost to Valmec’s forward order book, lifting it to $193 million from $93million currently.

As the energy sector enters a major maintenance cycle, successful delivery of the Asset Services strategy will see Valmec pivot from its current heavy business weighting on design, construction and commissioning division to having at least 50% of the order book dominated by recurring service revenues.

Since 2016, Valmec has been providing Origin with maintenance and construction services on the APLNG Project’s upstream gas compression and power generation assets located in South West Queensland. The new five-year Agreement is another key step forward in this long-term relationship and highlights Valmec’s ability to deliver a ‘one-stop’ shop offering.

Valmec’s Managing Director Steve Dropulich said:

'Valmec has a long and proud working relationship with Origin which we are pleased to continue with this contract.

'Since starting work with Origin in 2016 we have provided specialist technicians, equipment and parts through preventative and corrective maintenance services as well as delivered brownfield construction services to the APLNG Project’s upstream gas compression and power generation assets.

'We are also proud of the active role we have played in the community and this long-term contract helps cement our Roma operations facility as a key regional hub for our business.

'Importantly, this agreement with Origin highlights our capabilities as a full-lifecycle provider, underpinning our Asset Services strategy update.'

United Kingdom >>  8/9/2022 - Aberdeen-headquartered PD&MS Group has secured a three-year operations and maintenance (O&M) contract with Vattenfall to support its European offshore...
Norway >>  8/1/2022 - The Petroleum Safety Authority Norway (PSA) has carried out an audit of Repsol and their maintenance of management, including subsea facilities at Yme...

United States >>  8/1/2022 - Keppel Offshore & Marine Ltd (Keppel O&M)’s wholly-owned subsidiaries, Keppel AmFELS, Inc (Keppel AmFELS) and Keppel Shipyard Ltd (Keppel Shipyard), h...
United States >>  8/1/2022 - - Responsibility for routine maintenance services at 9 offshore oil and gas platforms across the Gulf of Mexico Deepwater basin
- Contract term ...

Germany >>  7/28/2022 - MAN PrimeServ, the after-sales service brand of MAN Energy Solutions, has signed a long-term service agreement (LTSA) with GIE Dragages-Ports, which i...
United Kingdom >>  7/28/2022 - C-Kore Systems recently completed a successful campaign on a subsea oil field located in the North Sea. The C-Kore tools were used to test the electri...

Gulf Oil and Gas
Copyright © 2021 Universal Solutions All rights reserved. - Terms of Service - Privacy Policy.