Petrofac’s planned financial restructuring can no longer proceed as originally intended following the termination of its scope of work by TenneT for an offshore wind project, the company announced on 23 October.
Petrofac said that its board has determined that the restructuring, which had reached an advanced stage, is no longer deliverable in its current form.
The company added that the firm is in dialogue with its key creditors and other stakeholders as it actively pursues alternative options.
In March 2023, TenneT signed a framework agreement with the consortium comprising Hitachi Energy and Petrofac for six offshore wind projects out of the total of fourteen 2 GW grid connection systems that the TSO will realise via the 2 GW programme.
TenneT said it exercised its right to partially terminate the contract covering Petrofac’s scope after the company failed to meet its contractual obligations.
“At the same time, a solution has been put in place involving a consortium of Hitachi Energy and a replacement contractor,” added the TSO.
Hitachi Energy and the replacement contractor will be responsible for the project portfolio of the Dutch offshore grid connections IJmuiden Ver Alpha , Nederwiek 1 , Nederwiek 3 , Doordewind 1 , Doordewind 2 , and the LanWin5 grid connection in Germany.