Services firm Cape has been awarded contracts on Inpex's Ichthys LNG project and for work for BP in the North Sea.
Cape Industrial Services secured two contracts, extending existing contracts, with BP in the UK North Sea for a further three years. These contracts have a combined estimated value in excess of £150 million.
The contracts, which have been effective from 1 January 2017, secure 400 core jobs for Cape employees in the North Sea as we provide Storage Tank Services, Industrial Cleaning, Heat Exchanger, Access, Insulation and Coating Services, along with General Operatives across BP’s upstream and midstream assets. This award follows an extensive process conducted by BP, consolidating the various services provided by Cape over recent years under one delivery team and enabling Cape to drive sustainable efficiency improvements through economies of scale, reduced interfaces and additional cost savings.
On Ichthys, Cape's Australian subsidiary Cape Australia Onshore was awarded an LNG insulation contract by JKC Australia LNG for the provision of insulation and coatings services for the Ichthys Project Onshore LNG Facilities in Darwin, Australia.
Despite having a good year so far in 2017, "materially ahead of its previous expectations," the firm anticipates that 2018 "will be a more challenging year, driven by the expected reduction in volume from the current high level of construction activity in Asia Pacific and the effect of project delays and margin pressures in the Middle East."