SapuraCrest Petroleum Bhd’s flagship vessel Sapura 3000 has won jobs worth up to US$260 million (RM769.6 million) for the Gorgon natural gas project offshore Western Australia.
Sapura 3000 is expected to grab about 60% of the US$440 million offshore operation contract from Norway-based Subsea 7 SA, a joint-owner of the vessel, a source said. The 60% share will come up to some US$260 million from Subsea 7’s contract.
Subsea 7 has just been awarded a US$440 million contract by Chevron Australia Pty Ltd for the Gorgon natural gas project, according to its statement to the Oslo Stock Exchange last Friday. Operated by Chevron, the Gorgon project is one of the world’s largest natural gas projects and is a joint venture between Chevron’s Australian subsidiaries and ExxonMobil Corp.
In the announcement, Subsea 7 said it would be using Sapura 3000 plus other construction vessels from its fleet for the offshore operations that would start in 2013.
Being the co-owner of the Sapura 3000 vessel, the contract sum would be a significant boost for SapuraCrest, analysts say.
“That (the new job) will probably bring in close to RM400 million revenue to SapuraCrest,” a source said.
Subsea 7 became the co-owner of Sapura 3000 in January after the Oslo-listed oil service firm merged with Acergy SA.
In its latest annual report, Sapura Crest said its vessel Sapura 3000 has built up a track record in the participation in deepwater oil and gas activities.
The projects that Sapura 3000 has taken part in are the Gumusut-Kakap field that is operated by Sabah Shell Petroleum Co Ltd, the Iwaki Platform decommissioning project offshore Japan and the Devil Creek development project near Australia water.
“The Sapura 3000 will be visiting Australian waters again to commence work pursuant to the award of PTTEP Australasia (Ashmore Cartier) Pty Ltd contract worth RM482 million for the provision of offshore transport and construction for its Montara development project,” said the company’s latest annual report.
Currently, SapuraCrest has equity interest in three pipe-laying barges — 50% in the Sapura 3000; 40% in LTS 3000 — partnering India’s Larsen & Tourbro Ltd and 26% in QP 2000, partnering Quippo Prakash Pte Ltd.
For 1QFY12 ended June 30, SapuraCrest posted a net profit of RM72.3 million or 5.67 sen per share, up 43% from RM50.7 million or 3.97 sen per share in the previous corresponding period. Revenue, however, was lower at RM550.8 million against RM670.3 million previously.
The company made a net profit of RM374.5 million for FY11 ended April 30 compared with RM335.2 million for FY10. Revenue was marginally lower at RM3.17 billion compared with RM3.25 billion.
SapuraCrest made headlines recently with its merger with Kencana Petroleum Bhd, a move that will create the largest non-government-linked oil and gas counter on Bursa Malaysia. The merged entity is expected to have a market capitalisation of RM11 billion. With assets worth a whopping RM6 billion, the merged entity will also be the fourth largest oil and gas service provider in the world.
