Subsea 7 — Earnings Release 2016

Nov 10, 2016

Subsea 7 S.A. Announces Third Quarter 2016 Results

Subsea 7 S.A. Announces Third Quarter 2016 Results

Luxembourg - 10 November 2016 - Subsea 7 S.A. (the

Group) (Oslo Børs: SUBC, ADR: SUBCY) announced today

results for the third quarter 2016 which ended 30

September 2016.

Third quarter highlights

- Strong operational performance: consistently good

execution and 91% Active Vessel Utilisation

- Adjusted EBITDA margin of 31% due to cost

discipline, operational performance, and project

completions

- Industry conditions remained challenging with

subdued market activity and low order intake

- 2016 guidance raised to reflect strong year-to-date

performance

- Assuming oil price increases are sustained and

industry cost reductions are achieved SURF project

award activity could increase within 18 months

- The new-build PLSV, Seven Sun, commenced its

five year day-rate contract in November 2016

Jean Cahuzac, Chief Executive Officer, said:

'We have delivered another quarter of strong

performance despite the continued industry-wide in

downturn in activity, with good execution across all

our market segments and high utilisation of our active

vessels. Our Adjusted EBITDA margin remained high at

31% as we executed well on projects nearing completion

and realised the savings from our early actions to

reduce costs and resize our capacity.

We are driving innovative and collaborative solutions

that help our clients to sanction projects and develop

their oil and gas reserves in the current price

environment. Many of our clients are interested in

pursuing an integrated approach. We have engaged with

clients on 30 potential integrated projects and

undertaken eight early engineering studies.

Industry conditions remained challenging in the third

quarter and there were few awards made to the market.

However, assuming the oil price increase over the last

nine month is sustained and the cost reductions

identified by the industry are consistently achieved,

there is cause to believe that the number of SURF

project awards to the market could increase within the

next 18 months.

The full results release is attached and can also be

downloaded from www.subsea7.com.

For further information, please contact:

Isabel Green

Investor Relations Director

email: isabel.green@subsea7.com

Telephone: +44 (0) 20 8210 5568

Special Note Regarding Forward-Looking Statements

Certain statements made in this announcement may

include 'forward-looking statements'.

These statements may be identified by the use of words

like 'anticipate', 'believe', 'could', 'estimate', 'exp

ect', 'forecast', 'intend', 'may', 'might', 'plan', 'pr

edict', 'project', 'scheduled', 'seek', 'should',

'will', and similar expressions.

The forward-looking statements reflect our current

views and are subject to risks, uncertainties and

assumptions.

The principal risks and uncertainties which could

impact the Group and the factors which could affect

the actual results are described but not limited to

those in the 'Risk Management' section in the Group's

Annual Report and Consolidated Financial Statements

2015. These factors, and others which are discussed in

our public announcements, are among those that may

cause actual and future results and trends to differ

materially from our forward-looking statements:

actions by regulatory authorities or other third

parties; our ability to recover costs on significant

projects; the general economic conditions and

competition in the markets and businesses in which we

operate; our relationship with significant clients;

the outcome of legal and administrative proceedings or

governmental enquiries; uncertainties inherent in

operating internationally; the timely delivery of

vessels on order; the impact of laws and regulations;

and operating hazards, including spills and

environmental damage.

Many of these factors are beyond our ability to

control or predict. Other unknown or unpredictable

factors could also have material adverse effects on

our future results. Given these factors, you should

not place undue reliance on the forward-looking s

statements.