Report: Contracts in upstream sector drive oil and gas contract activity for January

Global oil and gas contract activity in the month of January was mainly driven by contracts awarded in the upstream sector, according to a report by GlobalData.

Titled ‘Monthly Oil & Gas Industry Contracts Review – Samsung and Sumitomo’s Contracts Drive Award Activity in the Upstream Sector’, the report provides details of contracts and types of contracts awarded during January this year.

The biggest contracts during the month included BP’s $1.27bn contract to Samsung Heavy Industries for the construction of a semi-submersible floating production unit for the Mad Dog-II field development. It was followed by Petroleum Development Oman’s $1.2bn contract to Sumitomo for the supply of pipes for drilling operations.

The top contract issuer for the month was Saudi Aramco, which awarded contracts worth $4.22bn, while Hyundai Engineering & Construction stood as the top contractor by winning contracts worth $6.6bn.

At 59%, operation and maintenance contracts accounted for a major share of the type of contracts awarded. Contracts with multiple scopes such as construction, design and engineering, installation, operation and maintenance (O&M), and procurement accounted for 15%.