Petrofac Ltd, in default and beneath administration since final 12 months, stated Tuesday it had signed an settlement to divest its enterprise within the United Arab Emirates to an investor consortium led by Mason Capital Administration LLC and Pearlstone Various (UK) LLP.
“Petrofac Emirates encompasses Petrofac’s core engineering and building (E&C) functionality, together with the E&C execution groups within the UAE, Chennai and Mumbai”, the British vitality engineering firm stated in a web based assertion.
“The transaction will place Petrofac Emirates as a powerful, self-sustaining firm with no funded debt on its steadiness sheet and substantial development alternatives”.
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The deal “preserves Petrofac’s execution and engineering functionality and delivers continuity for the contracts presently beneath execution”, stated Petrofac chief government Tareq Kawash.
“With Petrofac Emirates’ robust presence and expertise within the UAE, it’s properly positioned for future success in our residence market in addition to within the wider MENA [Middle East and North Africa] area”, Kawash added.
Petrofac stated, “Completion of the transaction is topic to sure situations, together with customary governance, regulatory and stakeholder approvals which will likely be obtained as promptly as potential”.
Underneath an earlier settlement, Petrofac is working to finish the sale of its Asset Options enterprise to CB&I, a maker of storage amenities, tanks and terminals based mostly in The Woodlands, Texas.
The sale would save jobs for round 3,000 Petrofac staff, in response to the settlement the businesses introduced December 24, 2025.
Final week a Scottish courtroom upheld a “firm voluntary association” (CVA) between Petrofac and collectors, which might permit Petrofac to finish the sale to CB&I.
HM Income and Customs (HMRC) sought to dam the CVA to implement the federal government’s declare for historic Nationwide Insurance coverage Contributions (NICs) for offshore staff from October 1999 to April 2014, in response to a web based assertion by Petrofac March 2, 2026. Petrofac disputed the HMRC declare.
“Petrofac has in the present day requested HMRC to verify that they won’t additional problem the CVA, as ongoing appeals might additional delay completion of the transaction”, Petrofac stated March 12, 2026.
“Petrofac can be looking for the assist of each the UK and Scottish authorities to facilitate the swift completion of the sale to CB&I, for the advantage of all stakeholders”.
On October 23, 2025 Petrofac introduced the top of its “advanced-stage” restructuring after European grid operator TenneT terminated Petrofac’s scope beneath a contract signed 2023 for 12-gigawatt connection initiatives on the Dutch and German sides of the North Sea.
On October 27, 2025 Petrofac stated it had utilized for administration earlier than the Excessive Courtroom of England and Wales. “It is a focused administration of the Group’s final holding firm solely [Petrofac Ltd]”, Petrofac stated.
“The Group’s operations will proceed to commerce, and choices for different restructuring and M&A options are being actively explored with its key collectors, together with the Advert Hoc Group of Noteholders, who’re supporting the Group with continued forbearance preparations while different choices are explored. The Group additionally retains the assist of its RCF and Time period Mortgage lenders who proceed to increase maturities on a rolling foundation”.
On October 28, 2025 Petrofac stopped buying and selling on the London Inventory Trade after getting into into administration.
To contact the creator, electronic mail jov.onsat@rigzone.com
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