Wood Group Secures Major Contract Extension with Esso Australia

Wood Group PSN, a global provider of pre-operations, hook up & commissioning, operations & maintenance, engineering, construction, project management, training, and decommissioning services to the energy industry, has secured a significant contract extension with Esso Australia. The extension will see Wood Group PSN continue to provide engineering support to Esso Australia’s Gippsland Basin offshore facilities in the Bass Strait.

The contract, which is slated to start this month, involves Wood Group PSN providing engineering, procurement, and construction services to the Gippsland Basin Joint Venture, which includes ExxonMobil as the operator and BHP Billiton. The services will support the offshore facilities and onshore facilities at Longford Gas Plant, Long Island Point, and Barry's Beach Marine Terminal in Victoria, Australia.



Wood Group PSN's managing director, Andrew Stewart, expressed his delight at the contract extension, stating that the company has been supporting Esso Australia in the Bass Strait for 17 years and is pleased to continue their relationship. The success and longevity of their partnership have been underpinned by world-leading safety performance and consistent delivery of service commitments.

The contract extension aligns with Wood Group PSN's strategic focus on energy and sustainability. By continuing to support Esso Australia's operations, Wood Group PSN is contributing to the maintenance of Australia's energy security while also supporting local jobs and the Australian economy. Additionally, the contract involves brownfield engineering, procurement, and construction services, which are high-margin, recurring revenue streams for Wood Group PSN.



In conclusion, the contract extension won by Wood Group PSN is expected to have a positive impact on the company's order book and future growth prospects. The extension indicates a continuation of the long-standing relationship between Wood Group and Esso Australia, which has spanned 17 years. This longevity suggests a high level of satisfaction with Wood Group's services, increasing the likelihood of future contract renewals or additional work. The contract also aligns with Wood Group PSN's strategic focus on energy and sustainability, contributing to both the company's growth and the broader energy landscape.