Prime Highlight
- CB&I’s acquisition of Petrofac’s asset solutions business will secure around 3,000 UK jobs, including nearly 2,000 in Aberdeen.
- The deal provides stability for employees and allows the unit to continue operations under new ownership after Petrofac entered administration.
Key Facts
- The transaction is expected to complete in Q1 2026, following Petrofac’s financial collapse after a failed renewables contract in the Netherlands.
- Petrofac, once a £6 billion FTSE 100 company, operates engineering and project management services for oil, gas, and renewable projects in the UK and abroad.
Background
Thousands of jobs at energy services firm Petrofac will be saved after the company agreed to sell a major part of its business to US-based CB&I.
CB&I confirmed that it has reached a deal to buy Petrofac’s asset solutions business, with the transaction expected to be completed in the first quarter of 2026. The move secures the future of about 3,000 UK employees, including nearly 2,000 staff based in Aberdeen.
Petrofac went into administration in October after a large renewables contract in the Netherlands collapsed, adding to a wider fall in the company’s performance. The sale offers a lifeline to workers who have faced months of uncertainty.
Group chief executive Tareq Kawash said the agreement is a strong result for the business and the workforce. He said it will protect jobs for thousands of skilled employees and allow the asset solutions unit to move forward under new ownership.
James Bennett, joint administrator of Petrofac, described the deal as a very positive outcome after an intense search for buyers. He said the transaction provides stability for staff and value for creditors.
Mark Butts, president and CEO of CB&I in Texas, stated that both companies uphold similar values, particularly emphasizing safety and high management standards. He added that CB&I looks forward to building on Petrofac’s expertise.
Founded in Texas in 1981, Petrofac provides engineering, project management, and logistics services to oil, gas, and renewable energy projects. The firm has played a key role in running North Sea oil platforms for major companies such as BP and Shell.
Once an FTSE 100 business worth about £6 billion in 2012, Petrofac’s value has fallen sharply in recent years after a Serious Fraud Office probe and a series of profit warnings. The company also operates offices in London, Woking, and Great Yarmouth.
