REG - Gulf Marine Services - Contract

Gulf Marine ServicesAnnouncement

28/02/2024 08:15

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RNS Number : 7697E  Gulf Marine Services PLC  28 February 2024

 

February 28(th), 2024

 

 

 

Gulf Marine Services PLC

('Gulf Marine Services', 'GMS', 'the Company' or 'the Group')

Contract Extension, New Letter of Award and Revised EBITDA guidance

 

Gulf Marine Services (GMS), a leading provider of self-propelled and
self-elevating support vessels for the offshore oil, gas, and renewables
sectors, announces the signing of a contract extension for one of its vessels
currently operational in the Middle East. Additionally, the company has
received a Letter of Award for another vessel, also operating in the Middle
East. These two awards span a combined period of 5.2 years.

 

Considering this, the total backlog has now reached US$ 373 million. This
represents approximately 2.45 times 2023 revenues and offers an improved
visibility moving forward.  Accordingly, GMS is pleased to announce an upward
revision of its 2024 adjusted EBITDA guidance, now anticipated to be in the
range of US$ 92 million to US$ 100 million, compared to the previous range of
US$ 87 million to 95 million.

 

Mansour Al Alami, GMS Executive Chairman, welcomes these developments,
stating:

 

"We are delighted to make this announcement. It confirms the continuous demand
for our vessels and the improvement in day rates and backlog. This is also
likely to have a positive impact not only on 2024 results but well beyond. We
are hoping to revisit our 2025 EBITDA guidance in the second half of 2024.

 

Our deleveraging journey continues: We ended 2023 with net debt of US$ 268
million down from US$ 406 million in 2020, a decrease of US$ 138 million of
which US$ 107 million were repaid in the last two years."

 

Alex Aclimandos, GMS Chief Financial Officer, added:

 

"We welcome the new awards that will help us continue to accelerate
deleveraging. We will work hard to achieve the upper end of the adjusted
EBITDA guidance, but we remain conscious of the daily operational challenges
we will face in the coming ten months."

 

For further inquiries or information regarding these contract awards or our
services, please do not hesitate to contact us.

 

-ENDS-

 

 Enquiries:                 Tel: +44 (0)20 7603 1515

Gulf Marine Services PLC

 Mansour Al Alami

 Executive Chairman
 Celicourt Communications   Tel: +44 (0) 208 434 2643

 Mark Antelme

 Philip Dennis

 

 

Notes to Editors:

Gulf Marine Services PLC, a company listed on the London Stock Exchange, was
founded in Abu Dhabi in 1977 and has become a world leading provider of
advanced self-propelled self-elevating support vessels (SESVs). The fleet
serves the oil, gas and renewable energy industries from its offices in the
United Arab Emirates, Saudi Arabia and Qatar. The Group's assets are capable
of serving clients' requirements across the globe, including those in the
Middle East, South East Asia, West Africa, North America, the Gulf of Mexico
and Europe.

The GMS fleet of 13 SESVs is amongst the youngest in the industry. The vessels
support GMS's clients in a broad range of offshore oil and gas platform
refurbishment and maintenance activities, well intervention work and offshore
wind turbine maintenance work (which are opex-led activities), as well as
offshore oil and gas platform installation and decommissioning and offshore
wind turbine installation (which are capex-led activities).

 

The SESVs are categorised by size - K-Class (Small), S-Class (Mid) and E-Class
(Large) - with these capable of operating in water depths of 45m to 80m
depending on leg length. The vessels are four-legged and are self-propelled,
which means they do not require tugs or similar support vessels for moves
between locations in the field; this makes them significantly more
cost-effective and time-efficient than conventional offshore support vessels
without self-propulsion. They have a large deck space, crane capacity and
accommodation facilities (for up to 300 people) that can be adapted to the
requirements of the Group's clients.

Gulf Marine Services PLC's Legal Entity Identifier is 213800IGS2QE89SAJF77

www.gmsplc.com

Disclaimer

The content of the Gulf Marine Services PLC website should not be considered
to form a part of or be incorporated into this announcement.

 

Cautionary Statement

This announcement includes statements that are forward-looking in nature. All
statements other than statements of historical fact are capable of
interpretation as forward-looking statements. These statements may generally,
but not always, be identified by the use of words such as 'will', 'should',
'could', 'estimate', 'goals', 'outlook', 'probably', 'project', 'risks',
'schedule', 'seek', 'target', 'expects', 'is expected to', 'aims', 'may',
'objective', 'is likely to', 'intends', 'believes', 'anticipates', 'plans',
'we see' or similar expressions. By their nature these forward-looking
statements involve numerous assumptions, risks and uncertainties, both general
and specific, as they relate to events and depend on circumstances that might
occur in the future.

Accordingly, the actual results, operations, performance or achievements of
the Company and its subsidiaries may be materially different from any future
results, operations, performance or achievements expressed or implied by such
forward-looking statements, due to known and unknown risks, uncertainties and
other factors. Neither Gulf Marine Services PLC nor any of its subsidiaries
undertake any obligation to publicly update or revise any forward-looking
statement as a result of new information, future events or other information.
No part of this announcement constitutes, or shall be taken to constitute, an
invitation or inducement to invest the Company or any other entity and must
not be relied upon in any way in connection with any investment decision. All
written and oral forward-looking statements attributable to the Company or to
persons acting on the Company's behalf are expressly qualified in their
entirety by the cautionary statements referred to above.

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