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​Oil and gas firm Petrofac files for administration, putting thousands of jobs at risk

Petrofac, a major UK-based oil and gas contractor with about 7,300 employees globally, has filed for administration, endangering more than 2,000 jobs in Scotland, particularly around its North Sea operations.…

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​Oil and gas firm Petrofac files for administration, putting thousands of jobs at risk
Petrofac, a major UK-based oil and gas contractor with about 7,300 employees globally, has filed for administration, endangering more than 2,000 jobs in Scotland, particularly around its North Sea operations.  

The ultimate holding company applied to the High Court following the cancellation of a crucial offshore wind contract by European grid operator TenneT due to the firm's failure to meet its obligations. This setback made a planned solvent financial restructuring impossible.

Petrofac's struggles are rooted in years of issues, including a 2021 conviction for failing to prevent bribery and high debt (up to $4 billion). While the administration only applies to the holding company and UK operations continue for now, the move casts doubt over the future of the entire group. The UK government is coordinating support for the company's domestic arm, hoping to secure its long-term future.

Reported here in The Guardian
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