FMC Tech In Four-Year Pact With Petrobras Worth Up To $1.5 Billion
March 29 2012 - 10:43AM
Dow Jones News
FMC Technologies Inc. (FTI) said Thursday it struck a $1.5
billion four-year deal with Petroleo Brasileiro SA (PBR) for the
supply of subsea oilfield equipment.
The agreement comes as Petrobras, as the Brazilian oil company
is known, embarks on an ambitious bid to tap its deep-water oil and
gas riches, many of which lie beneath salt domes buried deep
beneath the ocean. The deal underscores how U.S. oilfield service
equipment providers, which helped pioneer the deepwater revolution
in the U.S. Gulf of Mexico, the North Sea and elsewhere, are
benefitting from that expansion despite strict rules for local
content in oil-rich nations like Brazil. FMC shares are up 2.81% at
$49.81.
The agreement could include the delivery of up to 130 subsea
trees--an ensemble of underwater pipes and valves designed to
manage the oil and gas flow of a deepwater well--and other tools.
The equipment will be designed and built at FMC's facilities in Rio
de Janeiro, where Petrobras is based.
"We have made significant investments in our Brazilian
operations to enable large-scale product manufacturing and the
development of new technologies," said Tore Halvorsen, FMC's senior
vice president, Subsea Technologies.
-By Angel Gonzalez, Dow Jones Newswires;
713-547-9214;angel.gonzalez@dowjones.com
Order free Annual Report for FMC Technologies, Inc.
Visit http://djnewswires.ar.wilink.com/?link=FTI or call
1-888-301-0513
TechnipFMC (NYSE:FTI)
Historical Stock Chart
From Apr 2024 to May 2024
TechnipFMC (NYSE:FTI)
Historical Stock Chart
From May 2023 to May 2024