Proserv Energy Awarded Turnkey GoM Project

Proserv Energy announced today that it has been contracted to provide complete turnkey services for the abandonment and removal of St. Mary Land & Exploration's Gulf of Mexico Vermillion area platform, pipelines and wells destroyed during Hurricane Ike.

Proserv Energy was awarded the project because of its abilities to assume asset ownership, and the risk and responsibilities for planning, project management, budgeting, expenses and project execution within timelines approved by the Mineral Management Service said Ron Twachtman, president of Proserv Energy.

            According to Twachtman, the contract results from the company's marketing strategy introduced earlier this year to give operators a risk-free alternative for removing non-producing assets thus freeing up operating capital and lines of credit.

            "We assume the responsibility. The operator gets closure and certainty knowing with confidence that we fully accept P & A and decommissioning liability," said Twachtman.

P&A work begins summer 2009 with completion expected by year end.

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About Proserv Energy

Proserv Energy offers full-service, fit-for-purpose abandonment and decommissiong solutions to operators wanting to transfer non-producing offshore liabilities off their balance sheets without associated personnel, bonding, insurance, legal and administrative costs. Because the company is an affiliate of Proserv Offshore, it is backed by more than 20 years of experience and 600 decommissioning projects worldwide.