Hunting PLC (LSE:HTG), the global precision engineering group, is delighted to announce that it has secured significant Organic Oil Recovery ("OOR") contracts to support major North Sea operators. The contracts are worth up to $60 million over a five-year period.
The OOR process is a proven enhanced oil recovery ("EOR") technology which optimises reservoir performance, improves recovery rates and reduces in-situ hydrogen sulphide levels for operators. The technology is environmentally friendly and requires no additional capital expenditure by the operator as well as having a lower carbon footprint than other EOR methods.
Hunting will deliver the OOR specialised water flood technology to increase recoverable reserves and extend the operational life of multiple assets across the operators' North Sea portfolios. The application of OOR also plays a significant role in encouraging more sustainable energy practises, by extending the lives of brown-field producing assets.
OOR was one of the key strategic growth pillars of the Hunting 2030 Strategy, which was delivered to investors at the Company's Capital Markets Day in September 2023. OOR emphasises Hunting's commitment to offering a diverse array of products and services, including cutting-edge technologies, to drive revenue and profit growth as the energy transition continues to progress.
Commenting on the major awards, Jim Johnson, Hunting's Chief Executive, said:
"Today's announcement is a significant step in the expansion of the OOR technology and shows confidence in Hunting's ability to deliver new technologies to the energy industry. These major OOR orders supports our Hunting 2030 strategic initiatives to deliver revenue and profit growth, with strong margins and cash flows, through new sectors and product lines."