- Year-to-date 2016 Directional  revenue on track at US$1.6 billion.
- US$193 million order intake year to date.
- Third Quarter 2016 uptime at 99.2%.
- FPSO Cidade de Saquarema on hire as of July 8, 2016.
- FPSO Turritella on hire as of September 2, 2016.
- Brazilian Fifth Chamber referred settlement agreement to the Higher Council of the Ministério Público Federal ("MPF"), for further consideration and decision.
- Reiterating 2016 Directional 1 revenue and EBITDA guidance of at least US$2.0 billion and around US$750 million, respectively.
- EUR150 million share repurchase program well underway.
|YTD Directional 1||YTD IFRS|
|in US$ million||3Q 2016||3Q 2015||% Change||3Q 2016||3Q 2015||% Change|
|Lease and Operate||952||807||18||%||901||735||23||%|
|in US$ billion||Sep-30-16||Dec-31-15||% Change||Sep-30-16||Dec-31-15||% Change|
Directional 1 capital expenditure for the year to date amounted to US$35 million. Full year 2016 Directional 1 capital expenditure, net of upfront client payments, has been revised from US$70 million to US$50 million. The year to date and reduced full year forecast reflect good project progress and release of contingencies in closing out Turnkey projects.Project Review FPSO Cidade de Saquarema (Brazil) FPSO Cidade de Saquarema achieved first oil and completed a 72-hour continuous production test leading to final acceptance. The vessel was formally on hire on July 8, 2016. The FPSO achieved its operational milestone "flare out" on September 20. The charter contract for the vessel includes an initial period of 20 years. FPSO Turritella (US Gulf of Mexico) FPSO Turritella was formally on hire as of September 2, 2016 after achieving Commencement of Commercial Production (CoCP). The CoCP certificate was issued on September 8, 2016. The lease and operate contract includes an initial period of 10 years with future extension options up to a total of 20 years. Turrets and Mooring systems Commissioning continues in accordance with client's schedules and contractual planning for the two large, complex turrets for Prelude FLNG and FPSO Ichthys. The Prelude turret finalization date, previously foreseen for 2016, will be aligned with client execution schedule. Operational Uptime The Company's fleet recorded 99.2% uptime for the third quarter, which brings the year-to-date uptime to 96.4%. FSO Serpentina Extension The operating and maintenance contract on FSO Serpentina was extended on August 1, 2016 for a period of 6 months from the previous termination date of August 14, 2016 to February 14, 2017. Compliance The Brazilian Fifth Chamber upheld its decision of September 1, 2016 in which the Leniency Agreement, as per the current terms, was not approved, and referred the matter, including review of the appeals filed by the General Counsel for the Republic (Advocacia Geral da União - "AGU") and the Public Prosecutor's Office (Ministério Público Federal - "MPF"), to the Higher Council of the MPF (Conselho Institutional) for further consideration and decision.
The Company remains committed to engage with all relevant authorities until the Leniency Agreement is approved by the Fifth Chamber. Until it is binding upon all parties, the Company is not under any obligation to make payments under the Leniency Agreement.The Leniency Agreement further remains subject to review by the Federal Court of Accounts (Tribunal de Contas da União - "TCU"), which is not a condition precedent to the Leniency Agreement. It is currently not possible to predict the timing or final outcome of these developments, and the Company will update the market accordingly. YME Decommissioning The Yme platform was decommissioned, taken off station and handed over to SBM Offshore on August 22, 2016. The platform was subsequently transported and placed onshore at a yard in Norway on September 12, where the platform will be disassembled. New Research and Development Laboratory On October 12, 2016, SBM Offshore has officially inaugurated its new R&D facilities at Carros - Le Broc, near Nice in France. The laboratory covers 2,300 m 2, and will cater to a variety of testing and research requirements across the Company's product lines in new technological developments. Dow Jones Sustainability Index ("DJSI") On September 19, 2016, SBM Offshore was reconfirmed in the DJSI, for the seventh consecutive year. The 2016 entry score of 81 out of 100 demonstrates that the Company is recognized as an "Industry Leader" in the Energy Equipment and Services sector. Share Repurchase Program On August 11, the Company initiated a EUR 150 million share repurchase program. As of November 4, the Company had repurchased 6,971,000 shares at an average share price of EUR 12.73, equal to 59% of the total repurchase program. Release of Pre-Completion Corporate Guarantees The release of pre-completion corporate guarantees associated with project financings with respect to the three FPSOs Cidade de Maricá, Cidade de Saquarema and Turritella is ongoing. Reflagging of FPSOs Cidade de Maricá and Cidade de Saquarema to Panama, as a condition prior to release of the guarantees, has been completed in September 2016. Release of the pre-completion corporate guarantees is expected to be completed in the fourth quarter of 2016. Floating Wind Pilot Project Having supplied more than 100 floating production and more than 450 offshore mooring systems over almost 60 years, SBM Offshore is the technology leader for floating and mooring solutions for the energy industry. SBM Offshore is looking at deploying its technology in floating wind projects as these require strong offshore experience and expertise.
On November 4, 2016 the French Government announced that it has selected the EDF Energies Nouvelles (EDF EN) proposal to construct a pilot floating wind farm for its Provence Grand Large project, offshore France. SBM Offshore's proprietary floating systems solution for offshore wind turbines will be deployed on this EDF EN project. The pilot project remains subject to the client's final investment decision.The scope for SBM Offshore would involve engineering, procurement, construction and installation services of the floating and mooring components for three floating wind systems. The execution planning remains subject to discussions with EDF EN, authorities and other project stakeholders. The Company would supply the floaters' components on a turn-key basis. Outlook and Guidance The Company is reiterating its 2016 Directional 1 revenue guidance of at least US$2.0 billion, of which US$0.6-0.7 billion is expected in the Turnkey segment and US$1.3-1.4 billion in the Lease and Operate segment. The Company also reconfirms the 2016 Directional 1 EBITDA guidance of around US$750 million. Conference Call SBM Offshore has scheduled a conference call followed by a Q&A session at 18:30 Central European Summer Time on Wednesday, November 9, 2016. The call will be hosted by Bruno Chabas (CEO), Peter van Rossum (CFO) and Erik Lagendijk (CGCO). Interested parties are invited to listen to the call by dialing +31 (0) 20 531 5851 in the Netherlands, +44 (0) 20 3365 3210 in the UK or +1 866 349 6093 in the US. A replay will be available shortly after the end of the conference call. Interested parties can listen to the replay by dialing +31 (0) 20 530 0220 and using access code 327425# until December 9, 2016. Corporate Profile SBM Offshore N.V. is a listed holding company that is headquartered in Amsterdam. It holds direct and indirect interests in other companies that collectively with SBM Offshore N.V. form the SBM Offshore group ("the Company").
SBM Offshore provides floating production solutions to the offshore energy industry, over the full product life-cycle. The Company is market leading in leased floating production systems with multiple units currently in operation and has unrivalled operational experience in this field. The Company's main activities are the design, supply, installation, operation and the life extension of Floating Production, Storage and Offloading (FPSO) vessels. These are either owned and operated by SBM Offshore and leased to its clients or supplied on a turnkey sale basis.As of December 31, 2015, Group companies employ approximately 7,000 people worldwide. Full time company employees totaling 4,900 are spread over five regional centres, eleven operational shore bases and the offshore fleet of vessels. A further 2,100 are working for the joint ventures with several construction yards. Please visit our website at www.sbmoffshore.com. The companies in which SBM Offshore N.V. directly and indirectly owns investments are separate entities. In this communication "SBM Offshore" is sometimes used for convenience where references are made to SBM Offshore N.V. and its subsidiaries in general, or where no useful purpose is served by identifying the particular company or companies. The Management BoardAmsterdam, the Netherlands, November 9, 2016
|Extraordinary General Meeting of Shareholders||November 30||2016|
|Full-Year 2016 Earnings - Press Release||February 8||2017|
|Annual General Meeting of Shareholders||April 13||2017|
|Trading Update 1Q 2017 - Press Release||May 10||2017|
|Half-Year 2017 Earnings - Press Release||August 8||2017|
|Trading Update 3Q 2017 - Press Release||November 7||2017|
Investor RelationsBert-Jaap DijkstraInvestor Relations Director
|Telephone:||+31 (0) 20 236 322|
|Mobile NL:Mobile MC:||+31 6 2114 1017+33 6 4391 9302|
|Telephone:||+31 (0) 20 2363 170|
|Mobile:||+31 (0) 6 25 68 71 67|