Pipelines & Transportation

Horizon Offshore, Cal Dive mull pipelay joint venture

Feb. 1, 2001

Horizon Offshore Inc. and Cal Dive International Inc. have signed a letter of intent to form a joint venture to conduct reeled pipelaying projects in the deepwater Gulf of Mexico. Once the deal is completed, they will fund pipelaying equipment to be installed on Cal Dive's Sea Sorceress pipelaying vessel, under conversion.

Horizon Offshore Inc. and Cal Dive International Inc. have signed a letter of intent to form a joint venture to conduct reeled pipelaying projects in the deepwater Gulf of Mexico.

The companies have already formed a strategic alliance to work in the gulf.

Once the joint venture agreement is completed, the companies will work to perform small-diameter pipelaying projects in 800 ft or more of water.

The companies will jointly fund construction of pipelaying equipment to be used with CDI's dynamically positioned Sea Sorceress lay vessel, which is undergoing conversion.

Horizon will also construct a pipe-spooling facility at its base in Port Arthur, Tex.

Martin Ferron, president and COO of Cal Dive, said: "We are delighted to partner with Horizon to address this growing market sector. Their core competency in pipelaying services together with our strength in deepwater operations will make this a powerful combination."