M.A.R.S. Europe said it has been awarded a contract by Teekay Petrojarl Floating Production UK Ltd. for dismantling and recycling of the Petrojarl Banff floating production, storage and offloading unit (FPSO). The deal includes engineering, preparation, dismantling and green recycling of the long-serving floater.
Teekay's Petrojarl Banff FPSO is expected to arrive at M.A.R.S. Europe’s EU-approved facility in the Port of Frederikshavn, Denmark prior to the end of Q1 2021.
The decommissioned FPSO, which ceased production in the U.K. North Sea in 2020, has been moored at Kishorn Port on the northwest coast of Scotland since September.
"Over the past few months we have undertaken a competitive tender process to select a green recycling yard that complies with all UK/EU regulations as well as our own vessel recycling policies to minimize health, safety, and environmental risks throughout the recycling process," Teekay said.
"We are glad that Teekay is choosing to retire and recycle the Petrojarl Banff FPSO in an environmentally friendly manner, at our approved EU Green facility in the Port of Frederikshavn, Denmark, contributing to stimulate the growth of the 'circular economy'," M.A.R.S. Europe said.
The 1997-built Petrojarl Banff FPSO, which has an overall length of 120 meters and a width of 42 meters, produced first oil in 1999. The wedge-shaped FPSO had been producing oil for CNRI at the Banff and Kyle fields, some 200 kilometers east of Aberdeen in approximately 90-95 meters water depth.
In the first quarter of 2020, CNR, the operator of the Banf and Kyle fields, informed Teekay of its intention to cease production in June 2020 and decommission the Banff field shortly afterward.
Teekay than decided to remove the Petrojarl Banff FPSO and Apollo Spirit FSO from the Banff field in 2020 and the subsea equipment in 2021.
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