Skip to Content

BW Offshore: Q2 2017 – Condensed interim consolidated financial information

by August 29, 2017 General

  * EBITDA of USD 118.6 million in the second quarter and EBITDA of USD 180.6
    million in the first half- year 2017
  * Payment of outstanding day rates received from Addax
  * BW Catcher in transit to the field in the UK North Sea
  * Closing of the acquisitions of the ownership in the Dussafu field
  * Termination notice for the contract on Sendje Berge

EBITDA  for the second quarter  was USD 118.6 million, an  increase of USD 56.6
million  (USD 62.0 million). The  increase in EBITDA  was mainly as  a result of
reversal  of loss  provisions related  to overdues  being paid from Addax during
second  quarter. The underlying EBITDA excluding  the one-off adjustment of loss
provision  was USD 73.1 million (USD 75.7 million). EBITDA decreased by USD 1.4
million to USD 180.6 million (USD 182.0 million) in the first-half year of 2017.

On  5 May, Sendje Berge Limited received  termination notice for the FPSO Sendje
Berge  operating  under  a  contract  with  Addax  Petroleum Exploration Nigeria
Limited  (Addax) on the Okwori field offshore Nigeria. The termination will have
effect  from 6 November  2017 and Addax  has requested  BW Offshore to provide a
demobilisation  plan for  the FPSO.  The Company  has during  the second quarter
received payment for all outstanding day rates.

BW  Energy Gabon Pte.  Ltd ("BWEG"), a  subsidiary of BW  Offshore, completed in
April  the acquisition of  a 66.667% interest in  the Dussafu production sharing
contract  offshore  Gabon  from  Harvest  Energia  B.V., a subsidiary of Harvest
Natural  Resources, Inc.  Later in April, BWEG also completed the acquisition of
25% working  interest  in  the  Dussafu  field  from Pan-Petroleum Gabon B.V., a
subsidiary  of Panoro Energy ASA.  The FPSO  Azurite fits well with the approved
field  development plan specifications for the Dussafu field in Gabon.  The FPSO
has  been  moved  to  the  Keppel  yard  where  the  necessary  upgrades  can be

BW  Catcher left Singapore 26 August  and is now in  transit to the field in the
UK.  The FPSO will be connected to the already pre-installed mooring system upon
arrival at the field. The Catcher project continue to perform within budget with
first oil expected in the fourth quarter of 2017.

"The  Catcher yard-completion within  time and budget,  and the subsequent sail-
away,  were important milestones for us and  a reflection of good execution on a
complex  and challenging project.  Catcher remains on  track for first oil later
this  year,"  said  Carl  K.  Arnet,  the  CEO  of BW Offshore. "We successfully
addressed  overdues on Sendje Berge, and maintained good operational performance
across the fleet and organisation."

Please see attachments for the full quarterly report and presentation.

BW  Offshore will host a presentation of the financial results 09:00 (CET) today
at Hotel Continental in Oslo, Norway. The presentation will be given by CEO Carl
K. Arnet and CFO Knut R. Sæthre.

The presentation will be broadcasted via webcast, and will also be available for
replay. Please visit for login-details.

For further information, please contact:

Knut R. Sæthre, CFO, +47 9111 7876

About BW Offshore:

BW Offshore is a leading global provider of floating production services to the
oil and gas industry. BW Offshore has a fleet of 14 owned FPSOs and one FSO
represented in all major oil & gas regions world-wide. BW Offshore has a long
track record on project execution and operations. In more than 30 years of
production, BW Offshore has executed 38 FPSO and FSO projects. The company is
listed on the Oslo Stock Exchange.

This information is subject to the disclosure requirements pursuant to section
5-12 of the Norwegian Securities Trading Act.

BWO Q2 2017 Report:

BWO Q2 2017 Presentation:

This announcement is distributed by Nasdaq Corporate Solutions on behalf of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: BW Offshore via GlobeNewswire


© InPublic, source European Press Releases