Bristow Group Announces Multi-Year Contracts Including New Clients And New Markets
Contracts expected to generate in excess of $2.8 billion in revenue
HOUSTON, Sept. 30, 2014 /PRNewswire/ -- Bristow Group Inc. (NYSE: BRS), the leading provider of helicopter services to the offshore energy industry, announced today in advance of the Johnson Rice Energy Conference, that since the beginning of calendar year 2014, it has secured several renewal and new multi-year contracts for oil and gas and search and rescue operations (SAR). These contracts provide for a total of 31 large and five medium helicopters and are expected to generate in excess of $2.8 billion in revenue over the current life of the contracts.
Jonathan E. Baliff, President and Chief Executive Officer, commented, "We continue to enter new markets by creating a more integrated logistics solution for our global clients. The renewal of existing contracts in Canada that were not previously disclosed and the securing of new contracts in new markets like the Falklands are proof of our ability to expand through a complete and differentiated suite of point to point transportation services. These successes derive from the innovation and close coordination that our operations, commercial, and finance teams bring to our clients every day, worldwide. These contract wins also exemplify the strong demand we continue to see for offshore logistics services, specifically as it relates to the increasing number of deepwater production facilities across the globe."
In our European Business Unit, Bristow has been awarded several new contracts:
- A five-year contract for one large helicopter that commenced in June 2014;
- A previously announced three-year contract for one large helicopter commencing in April 2015 with extension options totaling six years;
- Two-year contracts for two different clients for one large and one medium helicopter. One previously announced contract commenced in June 2014 with up to three year extension options and the second one started in July 2014;
- One-year contracts each for two different clients for three new large helicopters. One previously announced contract commenced in June 2014, and the other for two large helicopters commenced in September 2014;
- A one-year contract for three large helicopters starting in February 2015 with a two-year option to support drilling operations. One aircraft will be used for crew change work, the second one will be dedicated to SAR operations while the third helicopter will have dual use; and
- A six month contract for two large helicopters which commenced in June 2014.
In our North American Business Unit, Bristow also has secured several new contracts:
- A new contract for a large helicopter beginning in February 2015 for one year with a two-year option to extend;
- A previously announced five-year contract for one large helicopter starting in October 2015 with options to extend up to three years;
- A previously announced three-year contract for one large helicopter commencing in August 2015 with options to extend up to two years;
- Two previously announced one-year contracts each for two different clients for two large helicopters. One contract commenced in April 2014, and the second will start in December 2014; and
- Bristow's Canadian affiliate, Cougar Helicopters Inc., has been successful in renewing a six-year contract for seven existing and two new helicopters commencing in March 2016 with options to extend up to four years, as well as an unpriced option for five additional years. This contract award by a consortium of major clients provides for passenger crew change and dedicated SAR services.
Bristow also has secured several new contracts in other operating regions:
- In our Australian Business Unit, Bristow has been awarded three new contracts for six large helicopters. One contract for two helicopters commenced work in April 2014 for a period of three years with options to extend an additional two years. The second previously announced contract for three helicopters will commence work in December 2015 for a period of two years with options to extend an additional two years. The third contract for one helicopter will commence work in October 2014 for a period of three years.
- In our West African Business Unit, Bristow has been awarded two new contracts for one medium helicopter each. One contract commenced in April 2014 for a period of two years with a two one-year options, and the other contract started in May 2014 for a period of one year;
- In our Other International Business Unit, Bristow was awarded a previously announced six month contract for two medium helicopters starting in April 2015.
Jeremy Akel, Bristow's Chief Operating Officer, said, "Our latest commercial successes illustrate the market's increasing confidence in the value proposition that the Bristow brand is delivering to our clients. Of particular note is the new contract in the Falkland Islands, which demonstrates Bristow's ability to deliver logistical support not only in developed basins but also in more remote emerging basins, making us the supplier of choice in the industry."
More information will be available during the Johnson Rice Energy Conference in New Orleans as Jonathan Baliff and John Briscoe, Senior Vice President and Chief Financial Officer, are scheduled to present on Tuesday, September 30, 2014 at 10:00 a.m. Central Daylight Time (11:00 a.m. Eastern Daylight Time). A live broadcast of the presentation and the accompanying slides will be available in the Investor Relations section of the Bristow Group website at www.bristowgroup.com and will be archived there for approximately 90 days.
FORWARD-LOOKING STATEMENTS DISCLOSURE
Statements contained in this news release that state the Company's or management's intentions, hopes, beliefs, expectations or predictions of the future are forward-looking statements. These forward-looking statements include statements regarding expected revenues, commencement dates,the impact of activity levels, business performance, and market and industry conditions. It is important to note that the Company's actual results could differ materially from those projected in such forward-looking statements. Additional information concerning factors that could cause actual results to differ materially from those in the forward-looking statements is contained from time to time in the Company's SEC filings, including but not limited to the Company's annual report on Form 10-K for the fiscal year ended March 31, 2014 and our Quarterly Report on Form 10-Q for the quarter ended June 30, 2014. Bristow Group Inc. disclaims any intention or obligation to revise any forward-looking statements whether as a result of new information, future events or otherwise.
ABOUT BRISTOW GROUP INC.
Bristow Group Inc. is the leading provider of helicopter services to the worldwide offshore energy industry based on the number of aircraft operated and one of two helicopter service providers to the offshore energy industry with global operations. The Company has major transportation operations in the North Sea, Nigeria and the U.S. Gulf of Mexico, and in most of the other major offshore oil and gas producing regions of the world, including Australia, Brazil, Canada, Russia and Trinidad. For more information, visit the Company's website at www.bristowgroup.com.
SOURCE Bristow Group Inc.
Released September 30, 2014