Subsea 7 has received an early termination of the day-rate contract for its pipelay support vessel (PLSV) Seven Mar from Petrobras.
The termination is effective January 16, 2017, the company informed.
The Seven Mar was working for Petrobras, offshore Brazil.
The contract was due to expire in 2018 and as a result the group backlog has diminished by approximately USD 106 million.
“Brazilian maritime law prioritises Brazilian-flagged vessels over international vessels of a similar specification. As a consequence, the operating licence for Seven Mar has expired, which resulted in the early termination of the contract,” Subsea 7 explained.
Seven Mar is 145 meters in length and has a beam of 27 meters. The vessel can accommodate 121 people.