Swiber, Principia Form JV for Asian Offshore Services

Swiber Holdings Limited and Principia Recherche & Development SA announced the formation of a joint venture to undertake the supply and sale of studies, design of offshore and marine facilities, as well as related services in the offshore and marine industry in South East Asia.

The proposed joint venture company (to be incorporated in Singapore) will be 51% owned by Principia, and 49% owned by Swiber's wholly-owned subsidiary, Kreuz International Pte Ltd. The day-to-day operations of the proposed joint venture company will be managed by a team of executives to be appointed jointly by the board of directors of Principia and Kreuz. Swiber is a niche service provider to the offshore oil and gas industry, with a complementary business in the supply of marine support vessels, while Principia, a subsidiary of AREVA within AREVA TA Business Unit, is specialized in scientific engineering and studies and in the design, manufacture and sale of related software applications in the worldwide marine and offshore business.

From the complementary nature of the business operations, Swiber and Principia expect synergies in the following areas: engineering services for marine and offshore applications such as oil and gas exploration and production, maritime works and operations; monitoring engineering and services; commercial representation of certain scientific software.

"This new joint venture demonstrates our commitment to become an integrated service provider in the offshore energy and marine sector in South East Asia. It is also in keeping with Swiber’s philosophy of associating with world class organizations to deliver better value to our customers," said Raymond Goh, executive chairman and CEO of Swiber.

"Having worked with Principia previously, we were impressed with their extensive knowledge of scientific engineering and design software applications for the offshore and marine industry. With the experience and impeccable track record of the management team, we are confident that this partnership will position us well to benefit from the increasing demand for such services in our industry. Offshore operators, facing increasing pressure to stay ahead of competition, will find our solutions indispensable. We are excited by the enhanced prospects for growth that this joint venture offers," Goh added.

"We are very pleased to conclude this JV with Swiber in Singapore to provide our engineering services, monitoring solutions and our software support in this very exciting and promising Far-East Region. Our strategic view is to offer to our customers a larger range of services from conceptual and FEED stage up to detailed design supported by our more than 25 years’ experience in the marine industry combined with the well established know-how of Swiber. The Principia activities in the other regions will also be enhanced by the support of Principia Asia Pacific for engineering activities," said Benoit de Moulliac, the CEO of Principia.