Contract signed for next phase of Tui Oil Field decommissioning

Published: 05 October 2021

The Ministry of Business, Innovation and Employment (MBIE) has entered into an agreement with Shelf Subsea Services Pte Ltd for the removal of the subsea infrastructure from the Tui Oil Field (Phase 2 of the Tui decommissioning process).

Shelf Subsea is headquartered in Perth, Western Australia with regional offices in Singapore, Malaysia, Indonesia, and the Middle East.

“Shelf Subsea was awarded the contract after a competitive procurement process to select a supplier that met MBIE’s objectives of a robust technical solution, flexibility in timing, and competitive pricing and a commitment to working with iwi and local stakeholders.”

“Shelf Subsea has a proven track record in successfully fulfilling contracts of this type and MBIE’s Tui Project team is looking forward to working with them to advance this next phase of the decommissioning,” said Tui Project director Lloyd Williams.

“Shelf Subsea’s proposed boat, the Southern Star, is a state-of-the-art vessel and will carry the specialised equipment required to complete the work safely and efficiently.”

MBIE has submitted an application for marine consents with the Environmental Protection Authority (EPA) for the removal of the subsea infrastructure and the plugging, and abandoning, of 8 wells. An Independent Board of Inquiry is considering MBIE’s application.

Subject to EPA granting the marine consents, it is anticipated the work will be carried out in the summer of 2021/22 or alternatively in the summer of 2022/23.

The first phase of the decommissioning of the Tui Oil Field, the disconnection and demobilisation of the FPSO Umuroa, was completed in May 2021. The final stage of the decommissioning process will be the plugging and abandonment of the wells in the field, expected to occur from late 2022.

MBIE and Te Kāhui o Taranaki Trust have formed a partnership for this project to ensure iwi interests and concerns are recognised and accounted for.

Background

MBIE, on behalf of the Crown, is responsible for the decommissioning of the Tui Oil Field after the liquidation and receivership of Tamarind Taranaki Ltd. The Crown is committed to ensuring the field is decommissioned safely in accordance with the law and good industry practice. 

A dedicated Tui Project team, within MBIE’s Energy and Resource Markets branch, is planning the decommissioning of the Tui Oil Field.

Find out more about the Tui Project: decommissioning the Tui oil field

MBIE media contact

Email: media@mbie.govt.nz