CB&I Acquires Petrofac, Securing 3,000 North Sea Jobs

Energy services firm Petrofac is set to save approximately 3,000 jobs in the North Sea following a significant acquisition by the American company CB&I. The announcement came on Christmas Eve, revealing that CB&I has reached an agreement to acquire Petrofac’s asset solutions business, a move expected to be finalized in the first quarter of 2026.

The deal is crucial for many of the 2,000 employees based in Aberdeen, who faced uncertainty after Petrofac appointed administrators in October due to the collapse of a renewables contract in the Netherlands. The acquisition will transfer the affected staff to CB&I’s payroll, securing their positions during a challenging time in the energy sector.

Mark Butts, president and chief executive of CB&I, expressed optimism about the merger. He stated, “Our organisations share similar management philosophies and industry-leading safety performance. With this combination, we see strong cultural alignment, diversification benefits, and clear opportunities to enhance performance and deliver stable cash flow generation. These factors collectively support CB&I’s long-term growth objectives.”

The acquisition marks a significant step for both companies as they aim to strengthen their market positions. James Bennett, joint administrator for Petrofac, described the deal as “a very positive outcome.” He highlighted that the swift search for a new home for Petrofac’s Asset Solutions business underscores its operational viability and the skill of its workforce. “This is a very positive outcome and secures the future of its operations and the roles of many highly skilled people,” Bennett added.

Petrofac’s group chief executive, Tareq Kawash, echoed this sentiment, stating, “This is a great outcome for the Asset Solutions business, supporting job security for 3,000 talented team members. CB&I is a strong business with clear growth objectives, now bolstered by the addition of Asset Solutions’ integrated service offering.”

Founded in Texas in 1981, Petrofac has established itself as a key player in designing and building facilities for oil, gas, and renewable energy projects. Its involvement in various operations in the North Sea has included partnerships with major firms such as BP and Shell.

As the acquisition process unfolds, the future of the Asset Solutions business looks promising under CB&I, paving the way for enhanced operational synergy and a strengthened workforce in the North Sea energy sector. This development not only reflects a significant business transition but also underscores the resilience of the energy services industry in the face of recent challenges.