Petrofac moves Santuario to production sharing contract

Petrofac has completed the migration of the Santuario production enhancement contract into an interest in a production sharing contract, it announced on Tuesday.

The FTSE 250 company said that, effective from 18 December, Petrofac would own a 36% equity interest in the production sharing contract, with PEMEX Exploration & Production Mexico having a 64% interest.

It said the production sharing contract would run for 25 years, with two optional five-year extensions.

Petrofac would be operator of the block and would carry PEMEX's share of cash calls for the first year.

“We are pleased to have successfully concluded the migration of the first of our production enhancement contracts,” said Petrofac’s chief operating officer of integrated energy services, Rob Jewkes.

“We are committed to unlocking value in the block through a new field development plan in conjunction with our partner PEMEX.”