Source: National Oilwell Varco
National Oilwell Varco, Inc. (NYSE:NOV) has signed a definitive agreement, subject to final approval by its board of directors and other conditions to closing, to acquire the Advanced Production and Loading PLC (APL), subsidiary of BW Offshore Limited (Oslo:BWO), for $500 million in cash.
APL designs and manufactures turret mooring systems and other products for Floating Production, Storage and Offloading vessels (FPSOs) and other offshore vessels and terminals. APL's technologies and leading market presence in the FPSO sector will reinforce National Oilwell Varco's Rig Technology offering in the growing FPSO space, enabling the Company to provide new turret products to FPSO owners and operators worldwide. As part of the transaction BW Offshore, one of the largest owners and operators of FPSO's in the world, and National Oilwell Varco will enter into product supply and non-competition agreements. APL has approximately 230 employees, is based in Arendal Norway and operates in six other countries.
Pete Miller, Chairman, President and CEO of National Oilwell Varco, remarked, "We are excited about this opportunity to expand our product offerings in the FPSO Market; which we consider to be the next phase of deepwater development in the oil and gas sector. APL brings with it the industry-leading technical design capability of the turret mooring and production systems NOV needs to enhance its offshore production equipment offerings."
National Oilwell Varco is a worldwide leader in the design, manufacture and sale of equipment and components used in oil and gas drilling and production operations, the provision of oilfield services, and supply chain integration services to the upstream oil and gas industry.