Subsea 7 — M&A Activity 2019

Oct 31, 2019

Subsea 7 awarded contract offshore Norway

Subsea 7 awarded contract offshore Norway

Luxembourg - 31 October 2019 - Subsea 7 S.A. (Oslo Børs: SUBC, ADR: SUBCY)

announced today an award by OneSubsea®, the subsea technologies, production and

processing systems division of Schlumberger, a front-end engineering design

(FEED) study for the subsea umbilicals and flowlines system of the Ormen Lange

Field, operated by A/S Norske Shell, in the Norwegian Sea.

A/S Norske Shell awarded OneSubsea an engineering, procurement, construction and

installation (EPCI) contract to supply a subsea multiphase compression system.

Subsea 7's scope under this contract includes front-end engineering design

(FEED), which will proceed to execution phase in the case of positive FID by A/S

Norske Shell and its partners, Petoro, Equinor, INEOS and ExxonMobil. The work

will be executed as a Subsea Integration Alliance((1)) project.

Subsea 7 has already recognised the value of the engineering studies in its

Order Backlog. The value of the execution contract will be recognised after FID,

following exercise of the option. Assuming FID is reached, it will be equivalent

to a sizeable((2)) project award for Subsea 7.

The subsea multiphase compression system provided by OneSubsea will be installed

at 850 metres of water depth and consists of two 16-megawatt subsea compression

stations tied into existing manifolds and pipelines. Power supply and control

will be provided by the Nyhamna onshore gas processing plant, which is located

120km from the subsea location. Once the subsea multiphase compression system is

installed, the tieback distance will represent a world record for transmitting

variable speed power from shore to seabed.

Monica Th. Bjørkmann, Subsea 7's Vice President Norway, said, "This award is an

important demonstration of the value Subsea Integration Alliance brings by

combining the technologies and capabilities of OneSubsea and Subsea 7 into a

seamless integrated offering, resulting in the delivery of optimised solutions,

with reduced execution and interface risk. This compression tieback project

builds on the Subsea Integration Alliance integrated boosting tieback packages

supplied to Taqa Otter in the North Sea and Murphy Dalmatian in the Gulf of

Mexico."

1. Subsea Integration Alliance is a strategic global alliance between Subsea 7

and OneSubsea®, the subsea technologies, production and processing systems

division of Schlumberger, bringing together field development planning,

project delivery and total lifecycle solutions under an extensive technology

and services portfolio. As one team, Subsea Integration Alliance amplifies

subsea performance by helping customers to define, select, install and

operate the smartest subsea projects, that eliminate costly revisions,

delays and reduces risk across the life of field.

2. Subsea 7 defines a sizeable contract as being between USD 50 million and USD

150 million.

*******************************************************************************

Subsea 7 is a global leader in the delivery of offshore projects and services

for the evolving energy industry, creating sustainable value by being the

industry's partner and employer of choice in delivering the efficient offshore

solutions the world needs.

*******************************************************************************

Contact for investment community enquiries:

Isabel Green

Investor Relations Director

Tel +44 20 8210 5568

isabel.green@subsea7.com

www.subsea7.com

Contact for media enquiries:

Jan Roger Moksnes

Communications Manager Norway

Tel. +47 415 15 777

janroger.moksnes@subsea7.com

www.subsea7.com

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', 'expect',

'forecast', 'intend', 'may', 'might', 'plan', 'predict', '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 2018. 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 statements.