According analysts at Maybank Researchthe company beat out Teekay Petrojarl in a two-horse race tied to a tenderlinked to the Kraken field in the UK sector of the North Sea.
In a note to clients the Malaysianinvestment bank noted the letter of interim agreement represents Bumi Armada’s firstEuropean FPSO win and also marks the first of what may be multiple forays intothe mid-sized segment.
While the financial terms of thetransaction were not disclosed Maybank says the deal will likely last for morethan ten years and believe capital expenditures related to the project could costthe company as much as $1bn.
The bank noted Bumi Armada’s most recentfundraiser is a prelude to other projects the contractor is targeting in Africaand Indonesia. Going forward, analysts say they wouldn’t be surprised to see anotheraward announced before year-end.
Bumi Armada, which currently controlssix FPSOs in addition to other assets, is led by Hassan Assad Basma. Earlier inthe day it announced that its finance chief Shaharul Rezza Hassan has been replacedby Kenneth Murdoch, the former CFO of Maersk Oil.
In a statement filedwith securities regulators late in the day, the Kuala Lumpur-listed company said its chief’s outgoinglieutenant will serve as the head of its offshore support vessel division goingforward.
