Schlumberger, Subsea 7 in Negotiations to Form Joint Venture
Schlumberger and Subsea 7 S.A. announced Friday that they have entered into exclusive negotiations to form a joint venture (JV).
The companies said the JV would build on the success of the Subsea Integration Alliance, established in 2015, which currently combines the subsurface expertise, subsea production systems and subsea processing systems of Schlumberger’s OneSubsea with the subsea umbilical, riser and flowline systems capability of Subsea 7.
The proposed joint venture, which would be owned 50 percent by Subsea 7 and 50 percent by Schlumberger, would ‘further strengthen’ the front-end engineering, design and execution of integrated projects, and build on the expertise from both companies, according to a joint statement.
The companies hope to complete the negotiations before the end of the year, a Subsea 7 spokesperson told Rigzone.
“This joint venture will build on the success of Subsea Integration Alliance to provide our clients with the best solutions and services on an integrated basis,” Jean Cahuzac, Subsea 7 CEO, said in a company statement.
“We are looking forward to strengthening our collaboration with Schlumberger and extending our range of innovative solutions and technologies to drive industry progress,” Cahuzac added.
Olivier Le Peuch, president of Cameron Group, Schlumberger, said the Subsea Integration Alliance had already provided its customers with industry leading innovation and value.
“The proposed joint venture will give us the opportunity to capitalize on the synergies already established and significantly improve subsea economics over the lifetime of the field,” Le Peuch said in a company statement.
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