Hornbeck Offshore Awarded Multi-Year Decommissioning Contract in the North Sea

Hornbeck Offshore’s U.K. unit won a two-year North Sea decommissioning deal starting in 2027, supplying a fully integrated P&A solution.

Rhea-AI Summary

Hornbeck Offshore (HOS) announced that subsidiary Helix Well Ops (U.K.) Limited has secured a multi-year decommissioning contract with a major North Sea operator, expected to start in the second quarter of 2027.

The firm term is two years with customer extension options. Work will cover riserless plug and abandonment operations using either the Well Enhancer or Seawell vessels and a fully integrated package including well access system, ROVs, saturation diving, and project management and engineering services.

Positive

• Multi-year North Sea contract with a firm two-year term and extension options
• Integrated service scope including vessel, well access system, ROVs, diving, and engineering
• Utilization for Well Enhancer/Seawell through riserless plug and abandonment work from 2Q 2027

Negative

• None.

Market Context

Before publication, HOS closed at $8.88, down 1.33%; the two-year North Sea decommissioning award ad...

Analysis

Before publication, HOS closed at $8.88, down 1.33%; the two-year North Sea decommissioning award added a firm operating commitment, while the supplied market data showed no post-publication reaction.

Key Figures

Firm contract duration: two years Contract commencement: Q2 2027

Firm contract duration

two years

North Sea decommissioning contract

Contract commencement

Q2 2027

Expected start of operations

Key Terms

riserless, plug and abandonment, saturation diving

3 terms

riserless technical

"riserless plug and abandonment operations utilizing either the Well Enhancer or Seawell"

Describes offshore oil and gas operations carried out without a drilling riser — the large pipe that normally links a floating rig to the subsea wellhead. Riserless techniques use alternative equipment and seabed tools to run tools, recover fluids, or perform interventions from a vessel or platform without that rigid riser connection. Investors see it as relevant because riserless work typically involves different vessel types, cost profiles, operational risks and uptime implications compared with riser-supported drilling.

plug and abandonment technical

"riserless plug and abandonment operations utilizing either the Well Enhancer or Seawell"

Plug and abandonment is the permanent closure of an oil or gas well: workers place barriers down the well, remove surface equipment, and restore the site so the well cannot leak or be used again. For investors it matters because it is a legally required, often costly cleanup process that converts future production into a one‑time expense and ongoing liability risk—similar to tearing down and safely sealing an old factory, with implications for cash flow and balance‑sheet reserves.

saturation diving technical

"ROVs, saturation diving, and project management and engineering services"

Saturation diving is a method for keeping workers at high underwater pressure for days or weeks by housing them in a pressurized living chamber and sending them to and from the work site in a sealed bell, so they only decompress once at the end of the tour. It matters to investors because it enables long, expensive offshore and subsea projects to be carried out efficiently but requires specialized equipment, skilled personnel, strict safety rules and significant liability and cost exposure that can affect project timelines, contract value and operator risk.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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HOUSTON and COVINGTON, La. , Sept. 14, 2026 /PRNewswire/ -- Hornbeck Offshore Services, Inc. ("Hornbeck") (NYSE: HOS), a premier integrated offshore services company, today announced that its subsidiary Helix Well Ops (U.K.) Limited has secured a multi-year decommissioning contract with a major operator in the North Sea. The contract is expected to commence in the second quarter of 2027 and has a firm duration of two years, with customer options to extend.

Under the contract, Hornbeck will perform riserless plug and abandonment operations utilizing either the Well Enhancer or Seawell, both purpose-built riserless well intervention vessels. In addition, Hornbeck will deliver a fully integrated solution, including the vessel, a well access system (Subsea Intervention Lubricator), ROVs, saturation diving, and project management and engineering services.

Todd M. Hornbeck, Hornbeck's President and CEO commented, "This new multi-year award builds directly on Hornbeck's previous success and strengthens our expertise in delivering safe, efficient, rigless decommissioning solutions in the North Sea. By leveraging our asset base and extensive operational expertise, we are proud to support our customer in executing our integrated decommissioning solution under a single contract."

About Hornbeck Offshore Services 

Hornbeck is a global offshore services leader, providing innovative and integrated marine and subsea solutions to customers across the deepwater oilfield, defense and renewables industries.

Cautionary Note Regarding Forward-Looking Statements 

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements other than statements of present or historical fact included in this press release are forward-looking statements. Words such as "anticipate," "believe," "expect," "intend," "may," "plan," "project," "should," "will" and similar expressions are intended to identify forward-looking statements, though not all forward-looking statements contain these identifying words, and the absence of these words does not mean that a statement is not forward-looking. Such forward-looking statements include, but are not limited to, statements regarding: the agreement, the equipment and services thereunder and the parties thereto.  Forward-looking statements are based on current expectations and assumptions and involve known and unknown risks, uncertainties and other important factors, many of which are beyond the company's control, including, but not limited to, risks related to actions by governments, regulatory authorities, customers, suppliers and partners; market conditions; demand for services; the performance of contracts by suppliers, customers and partners; operating hazards and delays, which includes delays in delivery, chartering or customer acceptance of assets or terms of their acceptance; complexities of global political and economic developments; the impact of general economic conditions, including inflation, on economic activity and on the company's operations; the general volatility of oil and natural gas prices and cyclicality of the oil and gas industry' and other risks described from time to time in the company's filings with the SEC.

Forward-looking statements speak only as of the date they are made. The forward-looking statements in this press release are based upon information available to the company as of the date of this press release and, while the company believes such information forms a reasonable basis for such statements, these statements are inherently uncertain, and you are cautioned not to unduly rely upon these statements. Actual outcomes may vary materially from those described in these statements. Additional information concerning these and other factors that may impact the operations and projections discussed herein can be found in the company's filings with the SEC. The company does not undertake, and specifically disclaims, any obligation to update any forward-looking statements to reflect events or circumstances occurring after the date of such statements, other than as may be required by applicable law or regulation.

Contacts:
ir@hornbeckoffshore.com

Todd Hornbeck
President and CEO
985-727-6800

Potter Adams
Executive Vice President and CFO
985-727-6815

View original content:https://www.prnewswire.com/news-releases/hornbeck-offshore-awarded-multi-year-decommissioning-contract-in-the-north-sea-302878110.html

SOURCE Hornbeck Offshore Services, Inc.

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

When is the North Sea decommissioning contract expected to start and how long will it run?

The contract is expected to commence in the second quarter of 2027 and has a firm duration of two years, with options for the customer to extend beyond that period.

What services will Hornbeck Offshore provide under this decommissioning contract?

Hornbeck will perform riserless plug and abandonment operations using either the Well Enhancer or Seawell vessels and will deliver a fully integrated solution that includes a well access system (Subsea Intervention Lubricator), ROVs, saturation diving, and project management and engineering services.

Which Hornbeck subsidiary is responsible for the new North Sea contract?

The work will be carried out by Helix Well Ops (U.K.) Limited, a subsidiary of Hornbeck Offshore.