Leading manufacturer and supplier of technology solutions,
FMC Technologies Inc.
) has entered into a subsea systems deal with Europe's largest
Royal Dutch Shell plc
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Per the contract, FMC Technologies will purvey seven subsea
trees, two manifolds, related subsea control systems, tie-in
connection systems, subsea distribution hardware and connected
tooling and services for developing the Parque das Conchas
(BC-10) Phase 3 project located offshore Brazil.
FMC Technologies discloses that BC-10 Phase 3 happens to be the
original block's second expansion, which is based at a water
depth of roughly 5,000 to 6,500 feet.
FMC Technologies also received orders from Royal Dutch Shell in
2006 and 2010 for the development of Phase 1 and Phase 2 of the
BC-10 project. Following the award, FMC Technologies
provided Royal Dutch Shell with subsea systems, separation and
Moreover, FMC Technologies supplied ground-breaking subsea gas
and liquid separation and boosting system during the first phase
of the BC-10 project. Additionally, the fields that were being
developed during the Phase 1 came online in Jul 2009.
The current award represents FMC Technologies' continuing support
to Royal Dutch Shell for the development of the projects,
Particularly well positioned in the subsea systems market, FMC
Technologies has successfully completed several projects with
other big names such as
Petroleo Brasileiro S.A. or Petrobras
However, FMC Technologies relies on its ability to develop and
acquire essential products and technologies that drive its
operational performance and growth. If its technologies and/or
products become obsolete, or cannot be brought to the market in a
timely and competitive manner, the company might face severe
operational and financial dilemmas.
Houston, Texas-based FMC Technologies currently retains a Zacks
Rank #3 (Hold), implying that it is expected to perform in line
with the broader U.S. equity market over the next 1 to 3