Subsea 7 received an early termination notice from Petrobras for the dayrate contract for the Seven Mar pipelay support vessel (PLSV).
The rig was working offshore Brazil, and the contract was due to expire in 2018, however, ended effective 16 January 2017.
As a result, the group backlog has diminished by approximately US$106 million, Subsea 7 said.
“Brazilian maritime law prioritizes Brazilian-flagged vessels over international vessels of a similar specification. As a consequence, the operating license for Seven Mar has expired, which resulted in the early termination of the contract,” Subsea 7 said in a statement.
Image of the Seven Mar, from Subsea 7.
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