As Brazil works to extract its vast offshore oil and gas reserves found in pre-salt formations, one of the most challenging locations is the Santos Basin, where operators face a number of complex production and transportation conditions.  (NYSE: GE) has introduced innovative flexible pipes to help customers overcome these challenges by developing new materials for the pipes required to bring hydrocarbons to the surface.

During the past three years, the GE Oil & Gas team in Niterói has developed new flexible pipe technologies to meet the specific conditions of the Santos Basin oil. As a result, the company now is one of only two accredited providers of advanced flexible pipes to be used in this location.

GE's new flexible pipes feature important advances as each pipe layer is made with a specific material to ensure the safe and reliable transportation of oil and natural gas in the Santos Basin. Traditional flexible pipes are already highly engineered technologies that must be able to handle extreme pressures, temperatures and currents. The new pipes developed for the Santos Basin build on these characteristics by adding new materials specifically engineered to withstand the more acidic environment. Altogether, about 70 professionals worked on the flexible pipe technology project, which the GE team is continuing to enhance through more research and development.

GE's latest flexible pipe innovations build on the company's 2011 acquisition of Wellstream Holdings, which enabled GE Oil & Gas to further grow in the floating production, storage and offloading offshore segment that underpins deepwater oil and gas production activities in Brazil and around the world. The business specializes in the engineering and manufacturing of high-quality flexible risers and flowline products for oil and gas transportation in the subsea production industry.

To drive additional innovation, GE is establishing a new $250 million Global Research Center in Rio de Janeiro, which will host a subsea systems laboratory that will focus on developing more solutions for the pre-salt layer and ultra-deep water exploration.

Brazil is a key growth market for GE Oil & Gas, with the country expecting investments to reach about $320 billion by 2021, according to Energy Research Company. In addition to the future subsea systems laboratory, the company also has announced a total of $262 million in investments to expand its equipment production facilities in Niterói and Macaé—both in Rio de Janeiro—and Jandira in São Paulo.

With high operating and development costs surrounding many offshore Arctic fields, profit can only be achieved with decreased state taxation rates under current market conditions, says an analyst with research and consulting firm GlobalData.

Domagoj Baresic, GlobalData's Analyst covering Upstream Oil & Gas, states that the interplay between potential profit gains and high costs will likely be most evident in the Russian Federation, which has a strong state policy of developing upstream resources in its untapped Arctic frontier.
According to GlobalData, Russia has 27 confirmed offshore oil and natural gas planned fields in the Arctic Circle, some of which are among the last undeveloped large fields in the country, boasting more than 100 million barrels of oil equivalent.

In Russia, developers pay mineral extraction and export duty taxes dependent on oil prices and currency exchange rates, resulting in the state take reaching 90% of total revenue.
Baresic says: While operating and development costs cannot be significantly reduced, the best hope for turning discoveries into profitable producing fields is by decreasing state take through tax alleviation.

Projects such as the Prirazlomnoye field, which is expected to begin production in early 2014, could not have been developed without such tax alleviation, which was achieved mainly through reduced export duties and applying Mineral Extraction Tax (MET) relief.
Currently, a 50%-reduced export duty applies to oil produced from Prirazlomnoye, and since the field is located north of the polar circle, the first 257 million barrels of oil will not be subject to MET. These tax incentives are projected to reduce the state take from 90% to 50% and increase the Internal Rate of Return from 2% to 11%.
However, even with extra incentives, many fields in the Arctic could prove unprofitable under the current fiscal regime, giving rise to the possibility that the entire present system of tax alleviation measures might be reconsidered in the future, concludes the analyst.

As the economic fallout from the recent terrorist attack on Kenya's Westgate Mall by Somali militants is still unfolding, the country's petroleum industry will have to focus its attention toward security in order to keep its momentum, says an analyst with research and consulting firm GlobalData.

John McCormack, GlobalData's Lead Analyst covering Sub Saharan Africa, believes that while the Somali extremist group Al-Shabaab has not made a specific threat, Kenya's petroleum industry is of strategic importance to the country's economic future and is itself a feasible target for future attacks.

Although the attack on the Westgate Mall is likely to have a minimal impact on the overall pace of Kenya's oil and gas operations, most International Oil Companies (IOCs) will have to invest in security, especially with the relocation of high numbers of expatriates to Kenya. Additionally, there will also be a heightened risk of damage to oil and gas infrastructure, such as pipelines. These are particularly difficult to secure from Somali militants, McCormack says.

GlobalData forecasts the first oil production in Kenya to be achieved in 2016, from blocks 10BB/13T, once oil and gas legislative measures and infrastructure have been put in place. The Kenyan government is expected to receive revenues of $300m per year from oil produced from these blocks alone over the next 30 years.

According to McCormack, Kenya doesn'thave a safety and security master plan in place to protect its oil and gas infrastructure. However, Kenya Petroleum Refinery Company (KPRC) did tighten security around its Mombasa refinery facility, the only one in East Africa, following the attack.

Additionally, both security personnel and unarmed security guards are deployed at all onshore and offshore blocks where exploration operations are ongoing.
Furthermore, drilling rigs, especially those located close to the border of Kenya and Somalia in the Mandera, Anza and Lamu basins, are now on alert for militants after the Kenyan government showed no willingness to accede to the demands of Al-Shabaab.

The Kenyan government may lose some of its contract negotiating powers with the IOCs as a result of the deteriorating security conditions in the country. However, although the Westgate Mall attack will cause investors to consider the future ramifications of terrorism in Kenya, the opportunity-cost of turning down investment in the country is likely too high to justify not pushing forward, McCormack concludes.

Comment provided by John McCormack, GlobalData's Lead Analyst covering Sub Saharan Africa. John Sisa and Jamie Inkster, GlobalData's Analysts covering Oil & Gas, also contributed to this analysis.

Baker Hughes Incorporated (NYSE: BHI) has announced that PETRONAS Carigali Sdn. Bhd. (PCSB) has entered into a long-term Oilfield Service Agreement (OFSA) with Baker Hughes to enhance the recoverable reserves and production of hydrocarbons in the Greater D18 fields, offshore Malaysia.

The 23-year agreement is the result of a collaborative, 2 1/2-year field development study, leveraging Baker Hughes' reservoir evaluation capabilities to analyze the geology and reservoir attributes of the mature and compartmentalized D18 field. Challenged with production declines, Baker Hughes successfully deployed two integrated production enhancement programs to revitalize production in target wells. Through further analysis, technical experts developed a comprehensive field development plan with fit-for-purpose technology solutions.

"We have utilized our best people to come up with solutions which are going to help PETRONAS Carigali Sdn. Bhd. [PCSB] achieve their goals of increased oil recovery from mature fields. The partnership between PCSB and Baker Hughes on this project represents a significant milestone in expanding our offering with reservoir development in addition to our traditional products and services portfolio," says Zvonimir Djerfi, President of Asia Pacific Region for Baker Hughes.

With the challenges surrounding this marginal, complex reservoir, Baker Hughes' field management strategy combines technical expertise and integrated solutions to enhance existing production by identifying new targets and efficiently constructing new wells to maximize production throughout the entire life cycle of the field.

Baker Hughes will participate in the redevelopment cost for the Greater D18 field in return for remuneration from the incremental production. The collaborative arrangement will extend the life of Greater D18 and will help sustain the area's economic strength. The company has successfully implemented a similar modeling strategy in other areas, including Asia Pacific, Mexico and the United States.

New coverage supports continued demand for bandwidth in offshore and maritime transport sectors

Astrium Services, the global innovative provider of satellite enabled telecom solutions, is expanding its VSAT coverage with 100MHz of Ku-band capacity on the Intelsat 907 satellite (photo) , to serve customers on the North Sea and across European waterways.

As previously announced by Intelsat, the coverage agreement will enable Astrium to address significant demand from the company's core maritime transport and customized Ku-band VSAT segments, including customers in the North Sea oil & gas sector, where an increasing number of specialized vessels are pushing the boundaries of maritime VSAT usage. In 2013, Astrium Services' direct sales channel Marlink provisioned services aboard vessels in the North Sea with high capacity requirements, in some cases up to 12 Mbps, from ship to shore.   

"It's vital that we continue to provide Ku-band broadband services backed by superior customer support to our North Sea and European partners," comments Tore Morten Olsen, head of maritime for Astrium Services. "With usage patterns changing and the demand for bandwidth rising, our Ku-band capacity ensures we are well positioned to provide the high level of reliable connectivity that the maritime market requires today and in the future." 

“Intelsat continues to work closely with Astrium Services to provide capacity and throughput for leading maritime customers, enabling the company’s use of sophisticated tools and processes to support safe and efficient offshore operations,” says Kurt Riegelman, Intelsat SVP of global sales. “Our infrastructure investments, including the completion of our global broadband mobility network, position us to support our customers’ unique requirements, today and well into the future."

Exploration acquisition adds to opportunities in Australia

Chevron Corporation (NYSE:CVX) announced on Tuesday, that its Australian subsidiary has acquired exploration interests in two offshore blocks located in the Bight Basin, a deepwater frontier basin.

Blocks S12-2 and S12-3 in the Bight Basin are similar in size to the Gulf of Mexico and contain significant exploration potential.

Blocks S12-2 and S12-3, which span more than 8 million acres (32,375 square kilometers), are located approximately 275 miles (443 kilometers) west of Port Lincoln off the South Australia coast. Chevron Australia is the operator with a 100 percent interest.

Melody Meyer, president of Chevron Asia Pacific Exploration and Production Company, said, "The acquisition of blocks S12-2 and S12-3 demonstrates Chevron's continued focus on pursuing high-impact exploration opportunities to expand its resource base and reinforces the importance of Australia to Chevron's global growth strategy."

Chevron Australia Managing Director Roy Krzywosinski added, "We are extremely pleased to be awarded the S12-2 and S12-3 offshore blocks located in the Bight Basin. The Bight Basin is similar in size to the Gulf of Mexico, and these two blocks contain significant exploration potential."

Technip was awarded by Qatar Petroleum an engineering, procurement, installation and commissioning contract for a strategically important* Offshore Project comprising a living quarter platform and an utility platform, with a bridge connecting the two platforms. The project location is within QP offshore facilities.

Technip will be responsible for the execution of the entire Project. The topsides for both platforms will be installed using the floatover technology, which Technip pioneered. This installation method enables large integrated topsides to be installed, thereby minimizing offshore hook-up and commissioning, without the use of large crane vessels.
Technip's operating center in Abu Dhabi, United Arab Emirates, with the support from the Group's operating centers in Paris, France and Doha, Qatar will execute the project.

Vaseem Khan, Senior Vice President of Technip in the Middle East, declared: "This contract reflects the growing interest for the floatover technology, by allowing a safe project execution in a time and cost-effective way while overcoming heavy-lift challenges. With this strategic project, we have the opportunity to further consolidate our presence in Qatar and to strengthen our relationship with Qatar Petroleum. It will also help us establish Technip as a leading Company in the region for executing offshore living quarter platform projects."

* For Technip, an "important" offshore contract is ranging from €100 to €250 million.

Newfield Exploration Company (NYSE: NFX) has announced the signing of a share purchase agreement to sell all of its equity interests in Newfield Malaysia Holdings to SapuraKencana Petroleum Berhad for a total cash consideration of $898 million, which is expected to close in early 2014. The agreement is subject to the approval of Petroliam Nasional Berhad (PETRONAS) under the applicable Production Sharing Contracts, the purchaser's shareholder approval and customary closing conditions. Newfield intends to offer preferential rights to its partners under the Joint Operating Agreements.  The agreement was executed after the Company undertook a thorough and rigorous bidding exercise involving over 40 companies.

"We have enjoyed significant success in Malaysia and had a great business partnership with PETRONAS in the region. In early 2013, however, we announced our intent to exit our international businesses and focus our investments on domestic resource plays," said Lee K. Boothby, Newfield Chairman, President and CEO. "Our year-to-date results build positive momentum and confidence in our ability to deliver on our three-year plan."

Newfield plans to use the proceeds from the sale of its Malaysian assets to pay down existing debt and general corporate purposes. Goldman, Sachs & Co. is acting as financial advisor on the sale of Newfield's international businesses.

NYC-based PIRA Energy Group reports that Asian oil markets are fundamentally supportive, but Atlantic basin imbalances remain. On the week, U.S. crude stocks built again, while Japanese crude stocks drew slightly. Specifically, PIRA’s analysis of the oil market fundamentals has revealed the following:

Asian Oil Market Fundamentally Supportive, but Atlantic Basin Imbalances Remain

After recovering in the first half of October, crude oil prices have come under pressure once again. Global physical balances are weak with stock building in progress which is undermining crude oil price time spreads. The stock builds have been larger than anticipated because refinery runs have been lower as margin pressure has lasted longer. The data out of China looks better and economic downside risks have lessened. Asian middle distillate cracks have held up relatively well and demand strength should continue to be supportive. 

U.S. Crude Stocks Build Again

U.S. crude stocks built for the week ending October 18, the fifth consecutive weekly increase. Some 70% of the build has been at the Gulf Coast and another 22% occurred in PADD II. Crude price time spreads signaled the October builds and they are doing the same for November. The expected tightening of global crude balances in November has been postponed by significantly lower crude runs than what was anticipated earlier. Crude markets in Europe are quite weak with a substantial overhang of North Sea barrels pressuring spreads, especially with the recent sharp increase in long haul freight. 

Storm Impacts and Turnarounds Continue

This week saw the impact of Typhoon Wipha, while next week will reflect Typhoon Francisco. Japanese runs dropped back further, but should soon start turning higher. Implied crude imports stayed low and crude stocks drew slightly. Gasoline demand was relatively strong, with lower yield that drew stocks. Gasoil demand fell back, but yield was much higher and stocks built off record lows. Refinery margins remain soft. 

U.S. Propane Stocks Being Drawn Down

Colder weather has arrived in the U.S. and will help pull propane stocks yet lower. Exports remain active, as does petchem feed use, as well as usage for crop drying. Propane has traded at the highest level in months relative to WTI. 

Ethanol Prices Higher

U.S. ethanol prices advanced during the week ending October 18 as supply was tight and corn rose after attracting large buying from China. RINs stabilized after a draft EPA memo lowering the 2014 biofuels mandates sent values plummeting during in the previous week. 

U.S. Ethanol Output Soars

U.S. ethanol production soared to 897 MB/D the week ending October 18, the highest output since June 2012, as the 2013/2014 corn harvest is progressing in the Midwest and more feedstock is available at extraordinarily low prices. Output was up 3.2% from 869 MB/D in the preceding week. 

The information above is part of PIRA Energy Group's weekly Energy Market Recap, which alerts readers to PIRA’s current analysis of energy markets around the world as well as the key economic and political factors driving those markets. 

A consortium of companies, including Royal Dutch Shell plc ("Shell"), Petrobras, Total, CNPC and CNOOC have won a 35-year production sharing contract to develop the giant Libra pre-salt oil discovery located in the Santos Basin, offshore Brazil.

The Brazilian regulator, Agência Nacional do Petróleo (ANP), estimates Libra's recoverable resources of between 8 to 12 billion barrels of oil.

"The Libra oil discovery in Brazil is one of the largest deep water oil accumulations in the world. We look forward to applying Shell's global deep water experience and technology, to support the profitable development of this exciting opportunity," said Peter Voser, Chief Executive Officer, Royal Dutch Shell.
Shell holds 20% in the consortium, with Petrobras 40% as operator, Total 20%, CNPC 10% and CNOOC 10%. The consortium will work together in an integrated fashion to support Petrobras, the most experienced operator in the Brazilian pre-salt, and will incorporate each company's deep water skills, people and technology for the success of the venture.

The production sharing contract is expected to be signed in November 2013. As part of the winning bid, Shell will pay its 20-percent share of the total signing bonus of USD $1.4 billion [3.0 billion reais], and fulfill the minimum work program no later than end 2017.
The ultra-deep water Libra accumulation is located in Santos Basin, approximately 170 kilometers (105 miles) off the coast of Rio de Janeiro. The block covers approximately 1,550 square kilometers in water depths of around 2,000 meters (6,500 feet). The reservoir depth is around 3,500 meters below the sea floor (11,500 feet). The ANP estimates that total gross peak oil production could reach 1.4 million barrels per day. Further appraisal is required to firm up this estimate, the development concept and a first oil date.

Shell is one of the industry's pioneers in deep water oil and gas with some 330,000 boe/d of production, world-wide, from deep water in 2012. Our commitment to technology and innovation continues to be at the core of our strategy. As energy projects become more complex and more technically demanding, we believe our engineering expertise will be a deciding factor in the growth of our businesses.

Shell was the first International Oil Company to produce on a commercial scale in Brazil and has more than 100 years of history within the country, with circa 65,000 boe/d of operated production in 2012. Shell is currently operating two Floating, Production, Storage and Offloading (FPSO) vessels in Brazil's offshore – the Espírito Santo at Parque das Conchas and the Fluminense at the Bijupirá/Salema fields - and has recently announced projects to expand production at both fields.
Shell also operates and owns an 80% interest in the BM-S-54 block, where the Gato do Mato discovery is being appraised. Shell has also other interests in Brazil, particularly our Lubricants business and our joint venture Raízen, the leading sugar cane ethanol producer and fuels retailer.

NYC-based PIRA Energy Group reports that the U.S. is now largest oil supplier in the world. On the week, continued low U.S. runs led to large product stock decline.  In Japan gasoil stocks drew to a new record low. Specifically, PIRA’s analysis of the oil market fundamentals has revealed the following:

 U.S. is Now Largest Oil Supplier in the World

2013 total liquids supply is expected to average 12.1 MMB/D in the U.S., making it the world’s largest oil producer, overtaking Saudi Arabia and Russia. Shale liquids development is the key driver of the growth, with a increase of 3.2 MMB/D over the last four years. In the history of the global oil industry only Saudi Arabia in 1970-74 raised its output faster.

Big Increase in 2014 (and 2015) Global Refinery Capacity

Despite the fact that the world currently has a surplus of refining capacity, new additions are on the way. In comparison to beginning-year 2013, world refining distillation capacity is set to increase by about 5%, or 2.6 MMB/D, by the end of this year; another 2.1 MMB/D will come online in 2014. The biggest capacity increase over the two years comes from new construction projects in China and the Middle East.

Storms Disrupt Operations

Storms and typhoons continue to track toward Japan with a fair bit of regularity, with Typhoon Danas impacting Okinawa, followed by Typhoon Wipha impacting the Tokyo area. Yet another typhoon (Francisco) is tracking toward Japan. Gasoline stocks drew modestly, while gasoil stocks drew to a new record low. The implied crude import figure was very low and this allowed crude stocks to draw. Refinery margins remain weak.

Overview of API Data

Continued low U.S. runs led to large product stock declines as forecast. Tropical Storm Karen apparently did not reduce crude imports, leading to a very large crude stock build. Cushing crude stocks build as the Basin pipeline dumped more crude into Cushing with Magellan throughput down and a narrow LLS-WTI spread attracted more rail barrels to Cushing.

Qatari Marketing Flexibility Provides Key Signals for Price Direction

Qatar has benefitted financially from placing more LNG into Asia and has managed to do so at a premium to Atlantic Basin spot prices in Asia. To date, Qatar has been able to place incremental volumes into Japan, Korea, and China at, or close to its relatively strong oil-linked prices. How much more gas Qatar can (or will) divert to Asia from Europe this winter is a key question for AB spot players, who have the most to lose if there turns out to be more “wiggle room” on the supply side than anticipated.

Ethanol Price Rebound/ RIN Values Plummet

U.S. ethanol prices increased for the first time in three weeks as production declined and inventories fell to the lowest level since the EIA began reporting weekly stock data in June 2010. Circulation of a purported draft of an EPA report setting lower biofuels mandates for 2014 sent RIN markets crashing. 

The information above is part of PIRA Energy Group's weekly Energy Market Recap, which alerts readers to PIRA’s current analysis of energy markets around the world as well as the key economic and political factors driving those markets. 

Transocean Ltd. (NYSE: RIG) will replace Dell Inc. (NASD:DELL) in the S&P 500 after the close of trading on Monday, October 28. Founder Michael Dell and Silver Lake Partners are acquiring Dell in a deal expected to be completed soon pending final conditions.

Transocean provides offshore contract drilling services for oil and gas wells. Headquartered in Zug, Switzerland, the company will be added to the S&P 500 GICS (Global Industry Classification Standard) Oil & Gas Drilling Sub-Industry index.

Following is a summary of the change:

Additions to and deletions from S&P  Dow Jones Indices do not in any way reflect an opinion on the investment merits of the companies involved.

About S&P Dow Jones Indices

S&P Dow Jones Indices LLC, a part of McGraw Hill Financial, is the world's largest, global resource for index-based concepts, data and research. Home to iconic financial market indicators, such as the S&P 500® and the Dow Jones Industrial Average™, S&P Dow Jones Indices LLC has over 115 years of experience constructing innovative and transparent solutions that fulfill the needs of investors. More assets are invested in products based upon our indices than any other provider in the world. With over 830,000 indices covering a wide range of asset classes across the globe, S&P Dow Jones Indices LLC defines the way investors measure and trade the markets. To learn more about our company, please visit www.spdji.com.  

Petrobras, the operator for the BM-S-9 consortium, announces, together with its partners BG E&P Brasil and Repsol Sinopec Brasil, that the company's affiliate Guará BV has signed on its behalf a letter of intent to charter, through Modec Inc. and Schahin Petróleo e Gás S.A., an FPSO (floating production, storage and offloading unit) for use in production development of the pre-salt layer in the Carioca area, part of the Santos Basin's block BM-S-9.



The project provides for the initial connection of eight wells to the FPSO, four as producing wells and four for injection, with the possibility of subsequent additional wells. The Carioca area is expected to start producing in August 2016.



The platform will have a processing capacity of up to 100,000 barrels per day (bpd) of oil and 5 million m³/day of natural gas. The FPSO will be operated by the companies responsible for its construction and chartered to the BM-S-9 Consortium for a period of 20 years. The Carioca FPSO is scheduled to be delivered by June 2016.



The BM-S-9 Consortium is a partnership between Petrobras (the operator, with a 45% stake), BG E&P Brasil Ltda. (30%) and Repsol Sinopec Brasil S.A. (25%).

New Industries, Inc., has achieved the major safety milestone of 1 million man-hours without a lost-time accident. “This is a tremendous accomplishment for our company, and I am proud of our employees’ dedication to working safely,” stated Bill New, New Industries’ President. “This achievement is especially significant as we have nearly doubled our headcount during the last three and one half years. It is a tribute to our safety committee, front-line supervision, and indeed every member of our team that we have been able to sustain our safety culture while incorporating so many new employees.”

“This is a huge safety accomplishment but not our first recognition for safety,” HS&E Manager, Cody Rink added. “New Industries, Inc. has been honored with the Safety Award of Achievement by the Steel Tank Institute/Steel Plate Fabricators Association in three of the last four years.” This award is given to companies that achieve a 10% or more reduction in the rate of the OSHA Total Recordable Incidents compared to their average rate for the previous three years.

Founded in 1986, New Industries, Inc. is a Morgan City, Louisiana based specialty steel fabricator serving the offshore oil and gas and marine industries.  The company specializes in large diameter ASME pressure vessels; subsea production hardware such as suction piles, jumpers, PLETs, PLEMs, and manifolds; and DNV type-approved portable buildings including blast resistant design and pressurization for hazardous locations.  For more information on New Industries, Inc., please visit the company website www.newindustries.com or call 985-385-6789.

The Steel Tank Institute/Steel Plate Fabricators Association is a trade association whose member companies fabricate steel tanks, steel water pipe, and steel pressure vessels for use in the water, petroleum, food, and chemical processing industries. The organization will celebrate its 100th anniversary in 2016.

Fairmount Marine’s tugs Fairmount Glacier and Fairmount Expedition have assisted in the installation of FPSO OSX3 in the Tubarão Martelo oilfield offshore Rio de Janeiro, Brazil. Both Fairmount tugs were part of a five unit strong fleet of tugs contracted to hook-up the OSX3 to her anchors.

Fairmount Marine was contracted by Boskalis Offshore for the offshore support for the positioning of OSX3 during the hook-up operation. Tugs Fairmount Glacier and Fairmount Expedition were mobilized to Rio de Janeiro from where they escorted the OSX3 to the Tubarão Martelo oilfield over a distance of about 100 miles.

The hook-up operation consisted of the installation of twelve anchor chains - a job that was well executed in quite a fast time.

OSX3 is a brand new floating, production and offloading unit, build in Singapore. The vessel is 370 meters long, 57 meters wide and has, when fully loaded, a draft of 31 meters. The total capacity of the OSX3 is up to 100,000 barrel of oil per day and a storage capacity of up to 1,300,000 barrels. The oil production start-up of OSX3 is estimated for the end of this year. 

BOURBON announces that it sold 3 vessels, including a tug, an MPSV (Multi-Purpose Supply Vessel) from the Subsea Services fleet and a PSV (Platform Supply Vessel), for an approximate total amount of US$ 38 million generating a total capital gain of approximately US$ 18 million.

These three traditional diesel propulsion vessels, 10, 14 and 21 years old, respectively, are now in the possession of and operated by their new owners.

These three separate sales fall within BOURBON's strategy that aims to build its fleet with modern ships, built in series and equipped with diesel-electric propulsion systems, in order to offer its most demanding clients the service quality of a standardized fleet of modern and efficient vessels.