Sevan Marine, the “round rig” oil operator, said yesterday it had received a preliminary bid for one of its rigs.
The company said it was considering the offer, which represented the book value of the unit, in light of its current financing requirements and in the context of a continuing review of its business plan. It added that it had hired financial advisers to help it assess strategic options.
It did not disclose the identity of the bidder nor the proposed sale price. It also reported yesterday that operating revenues for the fourth quarter of 2008 amounted to £30.9million, up from revenues of £22.1million a year earlier.
Sevan said operating losses for the quarter were £54.75million, against losses of £22.3million a year earlier – much higher losses than the Oslo-listed company had been expected to make.
In the fourth quarter, a one-off cost of mobilising and installing the Sevan Hummingbird rig on Aberdeen-based Venture Production’s UK North Sea Chestnut field, amounting to £42.5million, was accounted for.
In addition, the company took a one-off cost of £3million relating to the Sevan Voyageur rig being prepared for work on Oilexco North Sea’s (ONS) Shelley field in the UK North Sea after ONS went into administration. Administrators at ONS have said the sale of all or some of ONS’s assets, which have attracted interest from a number of parties, should be announced by the end of March.
Sevan said operating revenues for the quarter were higher than the previous year mainly because the Sevan Hummingbird began operations in September 2008. Sevan specialises in building, owning and operating floating units for offshore applications in all offshore environments.
Looking ahead, the Norwegian company said it was looking at itself with a view to making changes, but was still confident it was well-positioned in its market place.