TORONTO, Dec. 18, 2014 (GLOBE NEWSWIRE) -- ShawCor Ltd. (TSX:SCL) has previously announced that its Bredero Shaw pipe coating division has received contracts from Europipe GmbH and Marubeni Sumitomo Consortium with a combined value of approximately US$100 million for pipeline coating for Lines 1 and 2 of the South Stream Offshore Pipeline project; and that its Canusa-CPS division has received a contract with a value of approximately C$30 million from Saipem SpA to provide field joint coating services for Line 1 of the South Stream project.
Work has commenced on each of these projects and approximately 20% of the expected revenue therefrom has been generated to date.
ShawCor notes the recent statements regarding the South Stream project made by the Russian authorities and Gazprom's Chairman as reported in the media. Based on suspension notices or other information recently received from its customers, the majority of the work on the South Stream contracts with Europipe, Marubeni Sumitomo and Saipem has been suspended until further notice. The suspensions received are applicable for a limited period of time and none of these contracts has been terminated to date. At this time, there can be no assurance as to whether these projects will be reactivated or subsequently terminated.
ShawCor Ltd. is a global energy services company specializing in products and services for the pipeline and pipe services and the petrochemical and industrial segments of the oil and gas industry. The Company operates through nine divisions with over ninety manufacturing and service facilities located around the world.
This news release contains forward-looking information within the meaning of applicable securities laws. Words such as "may", "will", "should", "anticipate", "plan", "expect", "believe", "predict", "estimate" or similar terminology are used to identify forward looking information. This forward looking information is based on assumptions, estimates, and analysis made in the light of the Company's experience and its perception of trends, current conditions and expected developments, as well as other factors that are believed by the Company to be reasonable and relevant in the circumstances. Forward-looking information involves known and unknown risks, uncertainties and other factors which may cause actual results, performance or achievements to be materially different from those predicted, expressed, or implied by the forward-looking information. The forward-looking information is provided as of the date of this news release and the Company does not assume any obligation to update or revise the forward-looking information to reflect new events or circumstances, except as required by law.