SOC Eyes Larger Scope Offshore Wind Contracts

Siem Offshore Contractors (SOC) continues to experience a high level of tendering activity for EPIC-based contracts for submarine power cables to be laid on offshore wind farms, the company stated in their report on the third quarter of 2017.

The market trend is for contracts to cover a larger scope of services, with the long-term outlook looking promising due to reduced LCOE as demonstrated by recent OWF development announcements, SOC said.

Image Source: Siem Offshore Contractors

SOC generated operating revenues of USD 10.3 million in Q3 2017, with USD 84.9 million in Q3 2016. The operating margin before administration expenses was USD 2.7 million, while in 2016 it equaled 17.6 million.

In the first nine months of 2017, SOC generated gross revenues of USD 87 million, with USD 129.4 million in the same period of 2016. The company recorded USD 12.1 million in margin from its various projects, before administrative expenses, with USD 16.9 million in 2016.

The company is currently working on the inner array grids for the Beatrice offshore wind farm, the Hornsea One offshore wind farm and the Trianel Windpark Borkum II. All projects are progressing according to contract, SOC said.

The total backlog on 30 September 2017 was USD 160 million.