Key Developments: Subsea 7 SA (SUBCY.PK)
21.44USD
17 May 2013
$-0.02 (-0.09%)
$21.46
$21.28
$21.44
$21.25
51,469
23,388
$25.90
$18.16
Latest Key Developments (Source: Significant Developments)
Subsea 7 SA's Joint Venture Receives Contract from Pemex
Subsea 7 SA announced that the Company's Mexican joint venture has received a contract from Pemex valued at approximately USD 90 million. The contract comprises engineering, fabrication and installation of an eight-kilometer pipeline, related risers, two slug catchers1 and two cantilever structures for the Line 67 Project in the Bay of Campeche. Offshore operations are due to commence in the third quarter 2013, with pipelay activities being conducted in the fourth quarter 2013 with Seven Borealis. Full Article
Subsea 7 SA Announces New Build Heavy Construction Vessel
Subsea 7 SA announced that the Company has signed a contract to build a new heavy construction vessel which will be delivered in 2016. The vessel will have 2,600 square meter deck area (for equipment carriage), a 600t Active Heave Compensated offshore crane, a 325t top tension vertical lay system and a 7,000t under-deck basket for storage of flexible pipes, umbilicals and cables. She will be equipped with six main engines in two engine rooms designed to maximise performance in Dynamic Positioning Class III. Korean company Hyundai Heavy Industries (HHI) will build the new vessel, and the main crane and the vertical lay system will be provided by Huisman. Full Article
Subsea 7 SA Receives Contract Offshore Brazil
Subsea 7 SA announced that it has received a contract worth in excess of USD 350 million from Petrobras. The contract is for the operation of the Pipe Lay Support Vessel (PLSV) Kommandor 3000 on a day rate basis for five years. Kommandor 3000 will start operations under the contract in 2013, during the year Kommandor 3000 will spend approximately 90 days in dry-dock for maintenance. The work scope is similar to the current contract, including project management, engineering and the installation of Petrobras supplied flexible lines and equipment on a day rate basis. Full Article
Subsea 7 SA's Workers Threat to Go on Strike-Reuters
Reuters reported that Leif Sande, head of the Industri Energi union, announced that workers at Subsea 7 SA could go on strike within a month over pay and benefits for offshore workers in Norway. If no deal is reached, 90 union members would go on strike from April 23, 2013, with union members at other companies also refusing to work on contracts with Subsea 7. The union announced that Subsea 7 employs some workers on vessels off Norway through a Singapore-registered subsidiary and does not provide the benefits to which Norwegian workers are normally entitled. Full Article
Subsea 7 SA Recommends Special Dividend; Issues FY 2013 Financial Guidance in Line with Analysts' Estimates
Subsea 7 SA announced that its Board of Directors has recommended that shareholders approve the payment of a special dividend of USD 0.60 per share at the next Annual General Meeting on June 28, 2013. The Company also announced that it expects fiscal year 2013 revenue and adjusted EBITDA to show some progress although higher depreciation, finance costs and effective tax rate will negatively impact earnings per share. The Company reported fiscal year 2012 revenue of USD 6,297 million and fiscal year 2012 adjusted EBITDA of USD 1,139 million, as well as fiscal year 2012 earnings per share (EPS) of USD 2.23. According to I/B/E/S estimates, analysts on average are expecting the Company to report fiscal year 2013 revenue of USD 6,787.45 million and fiscal year 2013 EBITDA of USD 1,281,64 million, as well as fiscal year 2013 EPS of USD 1.65. Full Article
Subsea 7 SA Receives Three Contracts
Subsea 7 SA announced that it has been awarded three contracts with a combined value in excess of USD 300 million from Petrobras. The scope of work comprises the installation of flexible lines by the Seven Seas, under two lump sum contracts and one day rate contract. The lump sum contracts encompass the installation of two export flexible Lazy Wave Risers at the Sapinhoa and Lula NE fields in the Santos Pre-Salt Basin in water depths of approximately 2,100 meters. The day-rate contract encompasses the project management, engineering and installation of Petrobras-supplied flowlines and umbilicals. Operations will commence in 2013. Full Article
Subsea 7 SA Receives USD 380 Million Contract Offshore Norway
Subsea 7 SA announced that it has been awarded a contract valued at approximately USD 380 million from Statoil for the Aasta Hansteen gas field, located west of Bodo in the northern part of the Norwegian Sea. The contract comprises the design, coating, fabrication and installation of 19 kilometers of rigid flowlines; and the coating, fabrication and installation of four Steel Catenary Risers (SCRs). The scope of work also includes the engineering, procurement, installation and commissioning (EPIC) of rigid spools and monitoring systems for the SCRs, and protection structures and anchors for the risers, flowlines and the SPAR. Further work includes the transportation and installation of the mooring system for the SPAR buoy. The pipeline production activity for the SCRs and pipelines will take place at Subsea 7's spoolbase at Vigra, Norway. Project management and engineering will commence immediately at Subsea 7's offices in Stavanger, Norway, with offshore operations commencing in 2015 and 2016. Full Article
Subsea 7 SA Receives USD 285 Million Contract
Subsea 7 SA announced that it has been awarded a contract from Talisman Sinopec Energy UK Limited to install two five-kilometer pipeline bundles. The contract, valued at USD 285 million is for the provision of subsea construction services in support of Talisman Sinopec Energy UK's Montrose Area Redevelopment Project. The contract scope includes the project management, engineering, procurement, fabrication and installation of two five-kilometer pipeline bundles which will tie back the Cayley field to the new Bridge-Linked Platform (BLP) at the Montrose facility. The contract scope also includes the procurement, fabrication and installation of a 17.5-kilometer production pipeline, water injection pipeline, gas lift pipeline and control umbilical to tie back the Shaw Field to the BLP Engineering and project management will commence immediately from Subsea 7's Aberdeen office, with offshore operations in 2014 and 2015. Full Article
Subsea 7 SA Awarded USD 160 Million Contract Offshore Norway
Subsea 7 SA announced the award of a pipelay and subsea installation contract valued at approximately USD 160 million from Statoil at the Oseberg Delta 2 (two) field, located approximately 130 kilometers west of Bergen in the North Sea. The contract includes the design, fabrication and installation of two insulated rigid production pipelines totaling 10 kilometers; the engineering, procurement, construction and installation of two flexible gas injection lines total ling nine kilometers; the installation of two umbilicals totaling 16 kilometers; and manifolds installation and tie-in work. The pipeline production will take place at the Company's spoolbase at Vigra, Norway. Project management and engineering will commence immediately at the Company's Oslo office with offshore operations commencing in early 2014. Full Article
Subsea 7 SA Receives New Contract
Subsea 7 SA announced that it has been awarded a contract from Esso Exploration and Production Nigeria Ltd for the development of the Erha North field, located offshore Nigeria in water depths between 1,000 meters and 1,200 meters. The contract was awarded to a consortium of West African Ventures Ltd and Subsea 7's Nigerian subsidiary. Subsea 7's scope of work includes the engineering, procurement, fabrication and installation of 25 kilometers of flowlines, 15 kilometers of umbilicals, and seventeen rigid jumpers. The scope also includes modifications to the FPSO in order to integrate it with the new subsea facilities. The project will maximize the use of local personnel and resources in Nigeria, in particular parts of the design will be executed in Nigeria and all subsea structures will be fabricated in Nigeria. Engineering will commence immediately with offshore installation scheduled to commence in early 2015, using the Seven Borealis and the Seven Pacific. Full Article
UPDATE 2-Subsea 7 sees oil sector hampered by delays, costs
* Cost pressures, skills shortages rising (Adds CEO on state of various markets, analysts, shares)
Earnings vs. 
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