viewPetrofac Limited

Petrofac shares slump as Abu Dhabi terminates US$1.65bn Dalma contract

The contract was awarded as recently as February, and, now the Abu Dhabi National Oil Company has terminated it.

Petrofac shares slump as Abu Dhabi terminates US$1.65bn Dalma contract

Petrofac Limited (LON:PFC) shares dropped in Thursday morning’s deals as it received a project termination notice from the Abu Dhabi National Oil Company (ADNOC).

The termination notice was for two recently awarded contracts for the Dalma Gas Development Project, awarded in February to the Petrofac Emirates unit. The project had been valued at US$1.65bn.

READ: Petrofac cancels US$85mln dividend

It said that its remaining order backlog amounted to around US$7bn, and, it continues tendering for major contracts in Abu Dhabi – but, anticipates delays in project awards.

Meanwhile, it added: “Petrofac is committed to working with ADNOC over the coming weeks to explore alternative options to deliver this project in a way that supports their strategic objectives within the current challenging environment.”

Petrofac shares fell around 25p or 14% to change hands at 159.58p.

Quick facts: Petrofac Limited

Price: 166.5 GBX

Market: LSE
Market Cap: £575.94 m

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events


The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...



Filta Group Holdings CEO reveals recent trading update highlights

Filta Group Holdings PLC (LON:FLTA) CEO James Sayers tells Proactive the commercial kitchens service provider has seen a gradual improvement in activity recently as coronavirus lockdown restrictions ease. Sayers says turnover in May was 14% higher than in April while June’s topped May’s by...

6 hours, 52 minutes ago

2 min read