3 Year ROV contract with Eidesvik Offshore

Reach Subsea has entered into a 3-year contract with Eidesvik Offshore for provision of ROV services on Viking TBN, a subsea construction vessel to be delivered from Kleven Yard in March 2015. The scope of services from Reach Subsea include two new work ROVs with full crewing, and is expected to yield annual revenues of approximately NOK 40 million, whereof NOK 10 million is guaranteed by Eidesvik.

In addition, Reach Subsea will under the agreement with Eidesvik market the Viking TBN as a subsea spread for own projects, thereby increasing our base of marketable assets to 5 vessels in 2015. Also, the Viking TBN – a large subsea vessel with length of 145 meters and a 400 tonne crane – adds diversity to our vessel base and contributes to increasing our addressable market.

CEO Jostein Alendal says: “This contract is essentially a collaboration agreement where Eidesvik contributes a state of the art large subsea vessel, and Reach contributes first class equipment and highly qualified subsea personnel. We believe the combination will be a competitive alternative for our customers, and expect to prove this through contract awards in the near future.”

For further information, please contact: Birgitte Wendelbo Johansen, CFO: +47 99 45 12 79.