Gulf Marine Services PLC ('Gulf Marine Services', 'GMS', 'the Company' or 'the Group') GMS secures additional backlog, with long term contract following successful trial of GMS Evolution's cantilever system
Friday 8 January 2021
GMS, a leading provider of advanced self‐propelled, self‐elevating support vessels serving the offshore oil, gas and renewables industries, is pleased to announce that it has secured a long‐term contract for the GMS Evolution. Winning this contract follows the successful trial of the vessel's Cantilever Workover System, with an NOC client in the MENA region. The system offers unique and significant operational and cost benefits.
GMS Evolution will replace a K‐Class vessel, currently on contract with the same client, from January 2021 through to Q4 2022, on higher day rate that reflects the additional capabilities of the GMS Evolution.
Reflecting recent contract wins, GMS's backlog currently stands at $220.2m (firm and options), of which $101m will be executed in 2021. GMS is also in advanced discussions for a potential award for the released K ‐Class vessel, which, if successful will increase secured utilisation for 2021 from 75% to c.80%
Mansour Al Alami GMS Executive chairman said:
"This contract win is a further reflection of the new board's efforts, across multiple fronts, to improve the outlook for the company. Backlog, revenues and operations are all part and parcel of our primary objectives. As recently announced, discussions with the banks have been positive, around improvements to the terms of the debt structure, and we continue to seek to put in place a workable solution that protects all stakeholders."
"Our client has seen first‐hand the unique operational time and cost benefits of utilising the Cantilever System on the GMS Evolution, when carrying out well workover activities. The system is capable of carrying out all aspects of well workover activity, normally carried out by a drilling rig, however, its real strength comes when frequent moves within the field are required. Being self‐propelled, unlike a drilling rig, the Evolution does not rely on tug support, so can move between locations in a fraction of the time."