SBM writes off book value of Yme platform

SBM Offshore (AMS:SBMO) is taking a $400-million impairment charge on its contract for the Yme jackup platform in the Norwegian North Sea.

Offshore staff

MONACO – SBM Offshore (AMS:SBMO) is taking a $400-million impairment charge on its contract for the Yme jackup platform in the Norwegian North Sea.

Delivery issues and structural problems following installation continue to delay the Talisman-operated project.

SBM has also taken a $29-million charge for additional costs related to the Deep Panuke platform project offshore Eastern Canada, which is also behind schedule.

CEO Bruno Chabas said: “Defining the way forward for Yme has been lengthy and arduous. However, we have made significant progress and are now able to take the tough decision to fully impair the full book value of the platform and provide for settlement costs. In the weeks ahead, we aim to move forward from alignment with our client on the targeted outcome, to the practical steps of an agreement.”

12/20/2012

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