Siem Offshore in New Offshore Well Intervention Vessels Deal

Siem Offshore Inc. say they have signed agreements with Helix Energy Solutions Group, Inc. to provide 2 well-intervention vessels which will be owned by Siem Offshore and chartered by Helix for an initial period of 7 years, with options that can extend the charter periods up to 22 years.

The two vessels will be constructed at the Flensburger shipyard in Germany for Siem Offshore, and will be based on a design developed by Salt Ship Design. They will have an overall length of 158 meters, a beam of 31 meters, and are to be constructed in compliance with rules for MODU-class (Marine Offshore Drilling Units).

Siem Offshore inform that the aggregate project cost for the two vessels is expected to be approximately US$ 420 million. Siem Offshore will finance the aggregated project cost for the two vessels by a combination of mortgage debt and bond issue. Helix will provide the topsides and manage the integration of the well-intervention equipment on to the vessels.

In turn, informs Siem, Helix has entered into agreements with Petróleo Brasileiro S.A. (“Petrobras”) to provide well-intervention services offshore Brazil for an initial period of 4 years with options to extend. The first vessel is expected to be in service for Petrobras by mid-2016, with the second vessel to follow later the same year.

Terje Sorensen, Chief Executive Officer of Siem Offshore, comments: “The agreements with Helix represent a targeted entry for Siem Offshore as vessel provider into the segment for Well-Intervention Vessels. Helix and Siem Offshore will capitalise on Siem Offshore’s excellent experience and position in Brazil to support Helix in their operations for Petrobras."

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