Thousands of oil and gas jobs in the United Kingdom, particularly in Aberdeen, have been saved after a dramatic Christmas Eve deal saw Petrofac’s Asset Solutions business acquired by Chicago Bridge & Iron Company (CB&I). The move comes as a huge relief to the North Sea energy sector, which has faced months of uncertainty since Petrofac entered administration in October 2025.
Petrofac, a London-based engineering and energy services firm with deep roots in the UK’s oil and gas infrastructure, found itself in dire straits following the collapse of a renewables contract in the Netherlands and a broader downturn in its fortunes. The company, which once boasted a place in the FTSE 100 and a valuation of £6 billion at its 2012 peak, had been battered by a Serious Fraud Office investigation, a guilty plea to bribery-related offences, and a string of profit warnings. The resulting £70 million fine and £7 million in costs, coupled with lost business, forced Petrofac to appoint administrators in October, putting thousands of jobs at risk—most notably in Aberdeen, where about 2,000 of its 3,000 UK staff are based.
The deal, announced on December 24, 2025, is expected to finalize in the first quarter of 2026. When complete, it will transfer 3,000 employees—many of them highly skilled engineers and technicians—onto CB&I’s payroll, effectively safeguarding their roles and injecting a sense of stability into a region that has weathered its share of economic storms. According to BBC, "American company CB&I has announced it has entered into a deal to buy the firm's asset solutions business in the first quarter of 2026."
Petrofac’s Asset Solutions business is integral to the operation of North Sea oil platforms for major firms such as BP and Shell. The company also maintains offices in London, Woking, and Great Yarmouth, and employs more than 7,000 people worldwide. Its expertise spans the design, construction, and management of facilities for oil, gas, and renewables projects, as well as providing engineering, project management, and logistical services.
The news of the acquisition has been met with widespread relief and optimism among workers and industry observers alike. Tareq Kawash, Petrofac’s group chief executive, was quick to highlight the positive impact on employees, stating, "This is a great outcome for the Asset Solutions business, supporting job security for 3,000 talented team members." He went on to thank the Asset Solutions team, customers, and supply base for their support during what has undoubtedly been a challenging period, adding, "CB&I is a strong business with clear growth objectives, now bolstered by the addition of Asset Solutions’ integrated service offering."
For many in Aberdeen and across the UK’s oil and gas sector, the deal marks a much-needed turning point. The region has long relied on the energy industry for economic stability, and the potential loss of thousands of jobs would have dealt a severe blow to local communities and supply chains. According to the Evening Standard, "Thousands of jobs in the North Sea are safe as part of energy services firm Petrofac looks set to be bought."
James Bennett, joint administrator for Petrofac, echoed the sense of relief, describing the deal as "a very positive outcome" that "secures the future of its operations and the roles of many highly skilled people." He emphasized the rigorous process undertaken to find the best possible home for the Asset Solutions business, concluding, "Asset Solutions has an exciting future as part of CB&I, with strong operational compatibility and a complementary geographic footprint."
The acquisition is also being hailed as a strategic fit for CB&I, a Texas-based engineering giant with its own storied history in the energy sector. Mark Butts, president and chief executive of CB&I, spoke enthusiastically about the merger, stating, "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 compatibility of the two companies’ operations and geographic footprints makes the merger particularly promising. Both firms have deep experience in managing complex infrastructure projects and a shared commitment to safety—an essential consideration in the high-risk world of oil and gas. Butts pointed to "strong cultural alignment" and "clear opportunities to enhance performance," suggesting that the integration could usher in a new era of stability and innovation for the combined workforce.
The rescue deal comes at a time when the UK’s energy sector is grappling with broader challenges, including the transition to renewables, volatile commodity prices, and ongoing regulatory scrutiny. Petrofac’s recent troubles can be traced in part to its ill-fated expansion into renewable energy contracts, notably the failed project in the Netherlands that precipitated its financial crisis. The company’s woes were compounded by the legacy of the Serious Fraud Office investigation, which not only resulted in significant financial penalties but also eroded investor confidence and tarnished the firm’s reputation.
Despite these setbacks, Petrofac’s core Asset Solutions business has remained a vital player in the North Sea, supporting the operations of some of the world’s largest energy companies. The acquisition by CB&I is seen as a vote of confidence in the long-term prospects of the UK’s oil and gas infrastructure, even as the sector faces mounting pressure to adapt to a low-carbon future.
For workers in Aberdeen and beyond, the deal provides a welcome reprieve after months of anxiety. The North Sea has long been a cornerstone of the UK’s energy economy, and the preservation of 3,000 jobs will help maintain the region’s skilled workforce and support local businesses that depend on the sector.
As the deal moves toward completion in early 2026, all eyes will be on how the integration unfolds and what it means for the future of both companies. For now, though, the message from all sides is clear: after a turbulent year, there is finally reason for optimism in the North Sea.
