LONDON (Alliance News) - A subsidiary of John Wood Group PLC on Thursday said it has won a contract to handle the subsea and pipeline element of the Peterhead Carbon Capture and Storage project in Aberdeenshire, Scotland.
Wood Group Kenny, the subsea, pipeline and riser engineering unit of the FTSE 250-listed oil services company, will develop a landfall system for the Peterhead Power Station, design a new carbon dioxide export pipeline from the power stations to a subsea tie-in and a new subsea intervention valve.
The company did not provide any financial details on the contract.
"We are honoured to be involved in this unique project in the North Sea. Using our 30 years of subsea infrastructure design, Wood Group Kenny is well placed to deliver high-quality, cost-effective solutions that will help achieve the targets of the UK Government," said Bob MacDonald, regional director of Wood Group Kenny.
The Peterhead project is being developed by Royal Dutch Shell PLC, with strategic support being provided by SSE PLC. The project was selected in March last year as one of two CCS demonstration schemes to the next stage of the UK government's CCS Commercialisation Competition funding.
Wood Group shares were down 0.3% to 645 pence on Thursday.
By Sam Unsted; samunsted@alliancenews.com; @SamUAtAlliance
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