FTI

FMC Technologies Contracted by Shell for Appomattox Project

Oilfield equipment manufacturer FMC Technologies Inc.FTI announced that it has received a contract from Shell Offshore, Inc. - a unit of Royal Dutch Shell plc RDS.A - for the Appomattox deepwater development project. However, no financial details of the deal were provided.

FMC Technologies will be providing Enhanced Vertical Deepwater Trees, subsea manifolds, topside controls, a control system, and a distribution system for the field located in the Gulf of Mexico.

FMC Technologies has a long-standing relationship with Shell and has supported Shell's subsea requirements for over twenty years.

Shell reached a final investment decision on the Appomattox deepwater project on Jul 1, 2015. The project will work toward the development of the Appomattox and Vicksburg fields and is expected to reach peak production of 175,000 barrels of oil equivalent per day.

Earlier this week, FMC Technologies received a contract from Statoil STO for subsea work at the Phase 1 of the Johan Sverdrup field for $172 million.

Despite these contract additions, FMC Technologies' earnings and revenues are expected to continue to suffer due to low crude prices that result in lower demand for its services.

Houston, TX-based FMC Technologies is a manufacturer and supplier of technology solutions for the energy industry. Currently, FMC Technologies carries a Zacks Rank #5 (Strong Sell).

A better-ranked stock from the oilfield machinery and equipment industry is Matrix Service Company MTRX . The company sports a Zacks Rank #1 (Strong Buy).

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FMC TECH INC (FTI): Free Stock Analysis Report

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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