Oslo-listed subsea services company Reach Subsea said Tuesday it had signed a conditional letter of agreement for a significant project in West Africa, through which Reach Subsea will be a subcontractor to "a major tier-one contractor. "
The assignment encompasses support for the installation and anchoring of an offshore unit, which, Reach Subsea said, implies a valuable broadening of Reach Subsea’s spectrum of services. It did not say what type of unit exactly it would be installing.
Included in the scope are significant survey and positioning tasks to be undertaken by Reach Subsea subsidiary iSurvey.
The project will be initiated towards the end of the first quarter of 2023, and is expected to last well into the second quarter of 2023, the company said.
For this project, Reach Subsea will charter a hybrid powered AHC/offshore construction vessel, mobilized with a work class ROV.
"The project has been awarded based on a strategic cooperation with key stakeholders for delivering high quality engineering and vessel solutions to the floater installation market," Reach Subsea said.
"With this cLOA, and including several other recent contract awards and extensions, Reach has won contracts with an expected value of approximately NOK 300 million [$29,5 million] in the period since the Q3 2022 report," Reach Subsea said,
Reach Subsea CEO Jostein Alendal said: "We experience a solid market for subsea services. This significant contract improves our order backlog considerably and is evidence of the strong value proposition of our complete and integrated offering - including survey and positioning services delivered by our new colleagues in iSurvey. It confirms our ability to successfully compete for a broad range of complex assignments across the globe."