Shearwater has refinanced its US$437M debt mountain and Polarcus secures work for two seismic survey vessels in 2021
Shearwater GeoServices Holding has refinanced its main debt facilities to provide a stable platform for growth in 2021, replacing US$500M of debt under an old structure with a new facility valued at US$437M. The difference in debt value was negotiated with lenders, including the issue of new equity as part of the refinancing.
Shearwater’s outstanding debt included a US$325M bridge facility used to acquire the marine seismic acquisition assets and operations of WesternGeco in November 2018.
This refinancing, which is subject to customary closing conditions, effectively covers all corporate facilities except for the net liabilities assumed as part of the acquisition of the CGG vessels in January 2020.
Shearwater’s existing shareholders will contribute US$25M of new equity as part of the debt restructuring. Core shareholder GC Rieber Shipping said its ownership in Shearwater will fall to 17.6%. It also expects to book a non-cash loss of around US$2M due to the share issue.
In another agreement, GC Rieber Shipping’s shareholding is reduced to 17% after Shearwater and CGG jointly agreed to settle a vendor note related to a transaction.
This is regarding an agreement, initially announced on 8 January 2020, covering completion of a strategic vessel transaction and long-term marine acquisition service agreement between Shearwater and CGG. On 5 November 2020, Shearwater agreed to suspend the marine streamer technology partnership negotiations with CGG.
Another Oslo-listed seismic services group Polarcus secured two contacts covering offshore surveys in the Asia/Pacific region.
In Russia, Polarcus has gained a memorandum of agreement with Sovcomflot subsidiary SCF GEO. Together they will provide 4D marine seismic acquisition services offshore Sakhalin Island in the Far East for an unnamed exploration and production company. This programme will require services of one Polarcus ICE-1A class vessel. It is scheduled to run for three months and commence in Q2 2021.
In a separate agreement, Polarcus has received letter of award for a 3D seismic data acquisition project in Asia Pacific, contracting one vessel for 2.5 months starting in Q1 2021.
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