Teekay Offshore Partners’ negative Q1 2015 results mainly due to unrealized losses on derivative instruments, foreign currency, write down and gain on sale of vessels, depite gain in revenue of $40.5 million compared to $31.2 million for the same period of the prior year

“Teekay Offshore continued to make progress during the quarter on several projects that will contribute to cash flow growth in future quarters,” Mr. Evensen continued. “Most notably, in March, the Knarr FPSO achieved first oil and commenced its charter contract with BG Group at partial rate. Subject to the unit completing certain operational tests and commencement of the full charter rate, we expect to acquire the Knarr FPSO from Teekay Corporation in the second quarter of 2015, which will allow the Partnership to increase its cash distributions following the acquisition. Our other major FPSO projects, the Petrojarl I FPSO upgrade and the Libra FPSO conversion, are also well underway and remain on track for start-up in mid-2016 and early-2017, respectively. In our offshore logistics business, we took delivery of the Arendal Spirit, our first modern floating Unit for Maintenance and Safety, or UMS, which is expected to commence its charter contract with Petrobras in June 2015, our wholly-owned subsidiary ALP Maritime has taken delivery of four of the six modern long-distance towing vessels it agreed to acquire last October, and the Randgrid shuttle tanker is currently in-transit to a shipyard in Singapore to be converted for the Gina Krog FSO project and is on track for start-up in early-2017.”

“In addition to over $3.3 billion of committed capital projects delivering over the next three years,” Mr. Evensen added, “we continue to bid on new offshore growth projects and on-the-water acquisitions.”

Source: Teekay Offshore


Shown below link is Petrojarl Knarr is Teekay’s largest project to date. The FPSO is located in the Knarr Field in the North Sea and is on a time charter contract for BG Norge.


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