Talos Energy Inc. has let a 5-year joint framework agreement to Helix Energy Solutions Group Inc. for decommissioning work in the US Gulf of Mexico.
Under the agreement, Helix has the first right of refusal regarding specific annual work scopes for Talos’s decommissioning requirements. The agreement includes a base pricing structure and processes for determining and scheduling specific projects Talos requires.
The projected scopes of work include Talos’s normal course abandonment of offshore wells, pipelines, and platforms, primarily on the shelf. Helix’s Louisiana-based shallow water abandonment group, Helix Alliance, intends to utilize derrick barges for structure removals, liftboats for plug and abandonment activities, and dive support vessels (DSVs) for pipeline abandonments, plus multiple offshore supply vessels (OSVs) and several other assets throughout the campaign.
Work is expected to begin in second-quarter 2024.
Talos is one of the largest independent operators in the Gulf of Mexico, with production operations, prospects, leases, and seismic databases spanning the basin in both deepwater and shallow water.