Engineering and project management provider Costain Upstream has secured a contract extension with Premier Oil worth £12 million over the next three years.

The Aberdeen-based company has worked with Premier Oil on a number of development projects in the North Sea during the past four years. Costain Upstream will continue to provide project and technical support across Premier Assets including the Catcher development.

On the Catcher project, Costain Upstream will provide development engineering and consultancy support in various technical areas including subsea infrastructure and floating production.

Peter Kirkbride, senior vice-president of the Select division at Costain Upstream, said: "Premier Oil benefit from the extensive experience and detailed knowledge of Costain Upstream staff who deliver services to support all aspects of offshore lifecycle from pre-feed studies to engineering and production.

"Our comprehensive knowledge of the North Sea oil and gas industry is one of the main reasons our clients choose to work with us. We have an excellent understanding of how the market operates so can offer greater certainty when it comes to project budgets and our experience and processes aid the efficient management vendors in the supply chain."

Costain Upstream has won work with some of the largest oil and gas companies in the North Sea and have recently delivered a multimillion pound project within 10 per cent of the cost estimated tender.

Keith Wallace, executive vice president of Costain Upstream, said: "We are delighted that we will continue our work with Premier Oil. This contract is testament of the recognised value our services bring to projects."