TIDMGMS
RNS Number : 5557D
Gulf Marine Services PLC
30 June 2021
30(th) June 2021
Gulf Marine Services PLC
('Gulf Marine Services', 'GMS', 'the Company' or 'the
Group')
Three New Contract Awards
GMS, a leading provider of advanced self-propelled,
self-elevating support vessels serving the offshore oil, gas and
renewables industries, is pleased to announce the award of three
new contracts, with a combined duration of 31 months.
These include a 23-month contract for an E Class vessel in
Qatar, commencing in early 2022, and two K Class vessel contracts
totalling 8 months commencing in August 2021.
Combined these contract awards brings secured utilisation to 86%
for 2021 and 50% for 2022 and orderbook (including options)
increases to US $215m.
Mansour Al Alami GMS Executive Chairman said:
"These contract awards mean that all 13 vessels in our fleet are
all under contract which is something we haven't seen since 2016
and is a very good indicator of an improving market. The 23-month
contract award for the E-Class vessel was at rates significantly
higher than we have seen in recent times and we would expect
improvement in day rates to continue as the supply/demand dynamics
improve in our favour.
The Company has seen a solid first half to the year and is well
placed to see further improvement in the second half, which gives
the Board added confidence that GMS remains on track to see a
significant improvement in EBITDA going forward, with the bottom
line turning positive after many years of continued losses.
The better capital structure now in place, post agreeing a
much-improved deal with the Company's debt providers, combined with
the success of the recent fundraise, further underpins the
Company's future, supporting its ability to, over the next two
years, significantly deleverage the balance sheet .
The Company's performance is underpinned by positive market
conditions, supporting utilisation, contracted activity, the
pipeline of opportunities and day rates. It is also supported by
the actions taken by the Board to actively manage costs, improve
operational efficiencies, and put in place an improved capital
structure, which will benefit the Company's near and long-term
prospects. Combined, this all serves to reset the GMS story,
driving benefits for the Company, its employees, contractors,
partners and investors."
-ENDS-
Enquiries: Tel: +44 (0)20 7603
1515
Gulf Marine Services
PLC
Mansour Al Alami
Executive Chairman
Celicourt Communications Tel: +44 (0) 208
Mark Antelme 434 2643
Philip Dennis
Notes to Editors:
Gulf Marine Services PLC, a company listed on the London Stock
Exchange, was founded in Abu Dhabi in 1977 and has become a world
leading provider of advanced self-propelled self-elevating support
vessels (SESVs). The fleet serves the oil, gas and renewable energy
industries from its offices in the United Arab Emirates, Saudi
Arabia and Qatar. The Group's assets are capable of serving
clients' requirements across the globe, including those in the
Middle East, South East Asia, West Africa, North America, the Gulf
of Mexico and Europe.
The GMS fleet of 13 SESVs is amongst the youngest in the
industry, with an average age of eight years. The vessels support
GMS's clients in a broad range of offshore oil and gas platform
refurbishment and maintenance activities, well intervention work
and offshore wind turbine maintenance work (which are opex-led
activities), as well as offshore oil and gas platform installation
and decommissioning and offshore wind turbine installation (which
are capex-led activities).
The SESVs are categorised by size - K-Class (Small), S-Class
(Mid) and E-Class (Large) - with these capable of operating in
water depths of 45m to 80m depending on leg length. The vessels are
four-legged and are self-propelled, which means they do not require
tugs or similar support vessels for moves between locations in the
field; this makes them significantly more cost-effective and
time-efficient than conventional offshore support vessels without
self-propulsion. They have a large deck space, crane capacity and
accommodation facilities (for up to 300 people) that can be adapted
to the requirements of the Group's clients.
Evolution Cantilever Capability
GMS Evolution and her cantilever work over system has been
designed and built to enable heavier work over scopes from a
self-propelled jack up barge. The optimised design enables
execution of Heavy Well Intervention (HWI) benefitting from the
efficiencies of our 4-Legged self-propelled jack up barges provide.
The type of HWI work that can be carried out include:
Electrical Submersible Pump (ESP) change out
-- Plug and abandonment:
-- Re-completion
-- Side-tracks
-- Slot Recovery
-- Work Overs
-- Coil Tubing
And the benefits include:
-- Significant time savings moving between locations resulting
in workover programmes being completed significantly quicker
therefore allowing clients to maximise production levels
-- No requirement to hire tugs to assist with drilling rig moves
Gulf Marine Services PLC's Legal Entity Identifier is
213800IGS2QE89SAJF77
www.gmsuae.com
Disclaimer
The content of the Gulf Marine Services PLC website should not
be considered to form a part of or be incorporated into this
announcement.
Cautionary Statement
This announcement includes statements that are forward-looking
in nature. All statements other than statements of historical fact
are capable of interpretation as forward-looking statements. These
statements may generally, but not always, be identified by the use
of words such as 'will', 'should', 'could', 'estimate', 'goals',
'outlook', 'probably', 'project', 'risks', 'schedule', 'seek',
'target', 'expects', 'is expected to', 'aims', 'may', 'objective',
'is likely to', 'intends', 'believes', 'anticipates', 'plans', 'we
see' or similar expressions. By their nature these forward-looking
statements involve numerous assumptions, risks and uncertainties,
both general and specific, as they relate to events and depend on
circumstances that might occur in the future.
Accordingly, the actual results, operations, performance or
achievements of the Company and its subsidiaries may be materially
different from any future results, operations, performance or
achievements expressed or implied by such forward-looking
statements, due to known and unknown risks, uncertainties and other
factors. Neither Gulf Marine Services PLC nor any of its
subsidiaries undertake any obligation to publicly update or revise
any forward-looking statement as a result of new information,
future events or other information. No part of this announcement
constitutes, or shall be taken to constitute, an invitation or
inducement to invest the Company or any other entity and must not
be relied upon in any way in connection with any investment
decision. All written and oral forward-looking statements
attributable to the Company or to persons acting on the Company's
behalf are expressly qualified in their entirety by the cautionary
statements referred to above.
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END
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