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Peterson was a survivor aboard Sevastopol Station.
Peterson was a member of a group of survivors during the Xenomorph outbreak on the station. Along with Francis and a unknown third survivor, they were trapped in Seegson Synthetics. Shortly before Amanda Ripley encountered them, they were ambushed by a group of looters and lost a member of their team as a result.
The three men eventually managed to get into contact with another survivor named Mahoney, presumably another member of their group. They were informed by Mahoney that they could power up the elevator with the help of a Working Joe. However, Peterson and Francis both responded angrily to the suggestion, with Peterson labeling the idea as "insane," as many of the Working Joes had become hostile.
Shortly after, the Xenomorph Drone appeared from the ventilation shaft above the group and landed on top of Peterson and the third survivor before abducting Francis.