Well engineering, subsurface and project management specialist, Elemental Energies, and drilling and well services company, Archer, today announced a joint venture (JV) agreement delivering integrated plugging and abandonment (P&A) services to global decommissioning projects. This commitment formalises the long-term partnership between Archer and Elemental Energies, creating a focused P&A well engineering team that will drive best practice for P&A design and operations across all well types.
By combining Archer's advanced well services technology and delivery capabilities with Elemental Energies' technical subsurface, well engineering and project management expertise, the JV will be in the position to offer end to end well abandonment solutions for both platform and subsea decommissioning projects. This will deliver integrated planning and execution for large-scale campaigns, supporting operators to maximise efficiency, maintain oversight, and reduce cost. The JV will have the ability to support operators from the earliest project stages, leveraging the strengths of both companies to deliver the most suitable methods and technologies for each project.
Dag Skindlo, CEO of Archer, said: “We’re delighted to deepen our collaboration with Elemental Energies. We acknowledge that some customers are looking to approach P&A differently, and the critical importance of offering a flexible solution to P&A services. This joint venture will help deliver highly efficient planning and design, with the ability to integrate best in class barrier philosophy with deep knowledge of most effective methods to plug and abandon various well types. Ultimately, this will help drive down costs of permanent P&A for our clients around the world.”
Mike Adams, CEO of Elemental Energies, commented: "There is a close strategic and cultural alignment between our companies, built around a successful track record of working together on joint projects. For P&A to work, it needs long term and highly efficient solutions. This JV will bring that longevity to clients, through a mutual commitment between two long term partners, and a joint venture team that is entirely dedicated to driving efficiency in P&A. Our partnership is a natural evolution of our relationship with Archer, and we are already actively supporting operators on P&A projects in the North Sea."
Global offshore decommissioning spend is projected to double over the next two decades, and the JV’s long-term approach aims to drive innovation and cost reduction – essential for advancing decarbonisation. While recognising that P&A needs and preferences vary by region and client, Archer and Elemental Energies are dedicated to supporting these unique requirements, whether through integrated solutions or traditional contracting approaches. This JV represents a commitment to fostering a more efficient and integrated approach to decommissioning across the industry.
In the last 12 months, both Elemental Energies and Archer have made significant acquisitions to bolster their capabilities, including Elemental Energies' acquisition of Well Expertise in July 2024 and Archer’s recent acquisition of fishing and P&A specialist, Wellbore Fishing & Rental Tools. These enhanced strengths will feed directly into the JV, ensuring first in class decommissioning expertise for operators.
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Read the article online at: https://www.oilfieldtechnology.com/exploration/13112024/elemental-energies-and-archer-announce-global-joint-venture/