Helix updates strategic plans for O&G business

Helix Energy Solutions announced in December 2008 that it intended to divest an array of non-core assets, including all or part of oil and gas assets. Now, some 15 months on, and as the divestment nears completion, further details around the plans emerge.

Today, reports from OilVoice.com confirm that the energy company is planning to engage with financial advisors as it evaluates the strategic alternatives available for a complete divestment of its oil and gas business.

Since the announcement in 2008, the company has divested nearly all of its interest in Cal Dive International and 100 percent of its reservoir consulting business, Helix RDS. The company has also sought to divest portions of its Gulf of Mexico shelf oil and gas assets.

Favorable transaction

According to a press statement, the company believes the business environment has become more favorable for a transaction and will now look at the alternatives available to divest its entire oil and gas business.

However, according to reports from today Helix remain unable to be specific about their plans - particularly with respect to a timetable for a divestment - given that there are a plethora of factors that will affect the company's ability to execute any solid plans.

Despite this, the company has said that it intends to aggressively focus on the monetization of its oil and gas business in order to complete its transformation to becoming a contracting services company focused on its core competencies in deep-water well intervention and subsea construction.

Departure

Coinciding with the firm's underlying strategy and objectives, the company has also announced today that Robert P. Murphy, Executive Vice President Oil and Gas, is to leave the firm. According to a press statement today, Johnny Edwards, the former head of Helix's oil and gas business and currently the president of the Company's oil and gas subsidiary, will return to his role to lead the Company's oil and gas division.

Owen Kratz, Helix's President and CEO, added: "Robert [Murphy] has played a major role in the success of Helix in the development of our deep-water oil and gas business. Since he initially joined the company, we have embarked on a different strategic direction for our oil and gas business. We appreciate all that Robert has done for Helix during his three and a half year tenure with [us], and we wish him the best of success."

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