SEACOR Marine Holdings Inc. (SEACOR Marine) provides global marine and support transportation services to offshore energy facilities worldwide.
The company operates and manages a diverse fleet of offshore support vessels that (i) deliver cargo and personnel to offshore installations, including offshore wind farms, (ii) assist offshore operations for production and storage facilities, (iii) provide construction, well work-over, offshore wind farm installation and decommissioning support and (iv)...
SEACOR Marine Holdings Inc. (SEACOR Marine) provides global marine and support transportation services to offshore energy facilities worldwide.
The company operates and manages a diverse fleet of offshore support vessels that (i) deliver cargo and personnel to offshore installations, including offshore wind farms, (ii) assist offshore operations for production and storage facilities, (iii) provide construction, well work-over, offshore wind farm installation and decommissioning support and (iv) carry and launch equipment used underwater in drilling and well installation, maintenance, inspection and repair. Additionally, the company’s vessels provide emergency response services and accommodations for technicians and specialists.
Equipment and Services
Platform supply vessels (‘PSVs’) generally range from 190 to more than 300 feet in length and are primarily used to deliver general cargo, drilling fluids, bulk products, methanol, diesel fuel and water to rigs and platforms where drilling and work-over activity is underway. These vessels can be modified for a wide variety of other uses and missions, including, but not limited to, construction support (typically when fitted with a crane), standby, security, firefighting, and accommodation. Relevant differentiating features of PSVs are total carrying capacity (expressed as deadweight: ‘dwt’), available area of clear deck space, below-deck capacity for storage of mud and bulk products used in the drilling process, tank storage for water and fuel oil, accommodation capacity and fuel efficiency. To improve fuel efficiency, reduce carbon and other emissions, and provide greater redundancy, PSVs are sometimes equipped with hybrid battery power systems. As of December 31, 2024, seven of the 21 owned PSVs were equipped with hybrid battery power systems. The company has also committed to additional hybrid battery power systems to be installed on four other PSVs. Additional factors in the commercial marketability of PSVs are operating draft because certain markets are limited in the size of vessel that can work safely, local flag preference, cabotage requirements and regulations. To improve station keeping ability, many modern PSVs have DP systems capabilities. As of December 31, 2024, all 21 of the owned PSVs were equipped with DP-2.
In addition to its existing fleet of PSVs, as of December 31, 2024, the company has a construction project in progress for two foreign flag DP-2 PSVs at Fujian Mawei Shipbuilding Ltd. in the People’s Republic of China, with expected delivery in the fourth quarter of 2026 and the first quarter of 2027, respectively.
Fast support vessels (‘FSVs’) are aluminum hull vessels used primarily to move cargo and personnel to and from offshore drilling rigs, platforms and other installations at greater speeds than traditional steel hull support vessels. FSVs can be catamaran or mono-hull vessels ranging from 145 to 205 feet in length and capable of speeds between 20 to 45 knots with capacities to carry special cargo, support both drilling operations and production services and transport passengers. The company’s FSV fleet includes vessels that have a passenger capacity of 36 to 150 and, on certain newer FSVs, include reclining seating, ambient lighting and other features to enhance the comfort and marketability of the FSV for passenger transport. FSVs built within the last ten years are sometimes equipped with DP-2 systems, firefighting equipment, hospitals and walk to work and ride control systems for greater comfort and performance. As of December 31, 2024, 20 of the 22 owned FSVs were equipped with DP-2 and two were equipped with DP-3. The company has been a pioneer in improving the fuel efficiency of FSVs. For instance, its FSV fleet comprises vessels with semi-displacement hulls and many of its vessels include ride control technology that optimizes vessel trim and dampens acceleration to reduce fuel consumption. The company has also been exploring additional means to cut down on fuel consumption of FSVs, such as through the installation of whole hull ultrasonic antifouling systems. This antifouling technology is on 18 of its FSVs.
Liftboats provide a self-propelled, stable platform to perform offshore wind farm installation and maintenance, production platform construction, inspection, maintenance and removal, well intervention and work-over, well production enhancement, well plug and abandonment, pipeline installation and maintenance and diving operations. The length of jacking legs (235 feet to 335 feet for the company’s liftboats) determines the water depth in which these vessels can work. Other differentiating features are crane lifting capacity and reach, clear deck area, helipad and electrical generating power and accommodation capacity. Liftboats are used in all of the company’s operating areas. As of December 31, 2024, three of the eight owned liftboats were equipped with DP-2, one with DP-1 and the remaining liftboats were not equipped with DP. Liftboats can support projects while elevated out of the water, shutting down all main engines and relying on one generator during the project, realizing a significant reduction in fuel consumption over vessels that can perform similar missions but that would have to run all engines for the same performance.
Anchor handling towing supply vessels (‘AHTS’) are used primarily to support offshore drilling activities by towing, positioning and mooring drilling rigs and other marine equipment. AHTS are also used to carry and launch equipment such as remote operated vehicles (‘ROVs’) used underwater in drilling and well installation, maintenance, and repair and transport supplies and equipment from shore bases to offshore drilling rigs, platforms and other installations, including floating offshore wind farm installations. The defining characteristics of AHTS are horsepower (bhp); Bollard pull, which is the pulling capacity of the AHTS and is important for towing and positioning rigs; winch size in terms of ‘line pull’ and brake holding capacity; and wire storage capacity. As of December 31, 2024, the company does not have any owned or leased-in AHTS in its active fleet but manages two sold AHTS on behalf of the new owners.
Specialty vessels include anchor handling tugs, accommodation, line handling and other vessels. These vessels generally have specialized features adapting them to specific applications including offshore maintenance and construction services, freight hauling services and accommodation services. The company has not had any specialty vessels in its active fleet since the second quarter of 2022.
Markets
The company operates its fleet in four principal geographic regions: the United States (‘U.S.’), primarily Gulf of America; Africa and Europe; the Middle East and Asia; and Latin America, primarily in Mexico and Guyana. The company’s vessels are highly mobile and regularly and routinely move between countries within a geographic region. In addition, the company’s vessels are redeployed among geographic regions, subject to flag restrictions, as changes in market conditions dictate.
The United States, primarily the U.S. Gulf of America. As of December 31, 2024, 10 vessels were located in this region, all of which were owned. The company’s vessels in this market primarily consist of a fleet of FSVs, PSVs and liftboats that support oil and natural gas exploration and production activities, seasonal construction, decommissioning and diving support operations, as well as the construction and maintenance of offshore wind farms in the Northeast of the U.S.
Africa and Europe. As of December 31, 2024, 20 vessels were located in this region, including 19 owned and one managed. The company’s vessels in this market generally support projects for major oil companies primarily in Angola, Senegal, Namibia, Nigeria and the North Sea.
The Middle East and Asia. As of December 31, 2024, 15 vessels were located in this region, including 13 owned and two managed. The company’s vessels in this area generally support exploration, personnel transport and seasonal construction activities in Saudi Arabia, United Arab Emirates, Qatar and Egypt.
Latin America. As of December 31, 2024, nine vessels were located in this region, all of which were owned. These vessels primarily consist of a fleet of FSVs and PSVs that provide support for exploration and production activities primarily in Mexico, Guyana and Trinidad and Tobago. From time to time, the company’s vessels also work in Brazil and Colombia. On September 29, 2022, the company sold its equity interests in Mantenimiento Express Marítimo, S.A.P.I. de C.V. (‘MexMar’), and Offshore Vessels Holding, S.A.P.I. de C.V. (OVH), and acquired 100% of the equity interest in SEACOR Marlin LLC. As a result, the company no longer operates 19 of the joint-ventured vessels owned by MexMar and OVH and acquired one previously joint-ventured vessel owned by SEACOR Marlin LLC.
Seasonality
Seasonality is most pronounced for the liftboat fleet in the United States and offshore support vessels in Europe, Middle East and West Africa, with peak demand normally occurring during the summer months. As a consequence of this seasonality, the company typically schedules drydockings or other repair and maintenance activity during the winter months.
Customers and Contractual Arrangements
The company’s principal customers are major integrated national and international oil companies, independent oil and natural gas exploration and production companies, oil field service and construction companies, as well as offshore wind farm operators and offshore wind farm installation and maintenance companies. For oil and natural gas customers, the volatility of commodity prices and an increased focus on capital discipline (e.g., limiting spending to existing free cash flow and prioritizing returning money to shareholders) could limit their field development and production activities which utilize the company’s services, as these companies continue to focus on increasing or maintaining efficiency, controlling costs and delaying or abandoning exploration activity and facilities with less promise. However, some of the company's oil and natural gas customers are increasing their capital expenditures in response to higher post-pandemic demand for energy and are increasing their focus on reliable and secure energy sources while maintaining capital discipline. Additionally, offshore wind farm development, particularly in the Northeast of the U.S., has provided opportunities for the company to work with new customers.
During the year ended December 31, 2024, two customers, Azule Energy Angola S.p.A. (‘Azule’), a joint venture between BP p.l.c. and Eni S.p.A., and SEACOR Marine Arabia LLC (‘SEACOR Marine Arabia’), a joint venture that is 45% owned by a subsidiary of SEACOR Marine and through which vessels are in service to Saudi Arabian Oil Company (‘Saudi Aramco’), were each responsible for over 10% of the company’s consolidated operating revenues operations. Azule and SEACOR Marine Arabia were responsible for 21% and 19%, respectively, of the company’s consolidated revenues operations in 2024. The company’s ten largest customers accounted for approximately 76% of the consolidated revenues in 2024.
The company earns revenue primarily from the time charter and bareboat charter of vessels to customers.
Government Regulation
Most of the vessels operated by the company is registered in foreign jurisdictions, with the remainder registered in the U.S. Vessels are subject to the laws of the applicable jurisdiction of registration regarding several matters, including ownership, manning, environmental protection and safety. In addition, the company’s vessels are subject to the requirements of a number of international conventions that are applicable to vessels depending on their jurisdiction of registration. Among the more significant of these conventions are: the International Convention for the Prevention of Pollution from Ships, 1973, as modified by the Protocol of 1978 relating thereto (MARPOL); the International Convention for the Safety of Life at Sea, 1974 and 1978 Protocols (SOLAS); the International Convention on Standards of Training, Certification and Watchkeeping for Seafarers (STCW); the Maritime Labour Convention, 2006 (the MLC); and the International Ship and Port Facility Security Code (the ISPS Code).
The U.S. registered vessels are subject to the jurisdiction of the U.S. Coast Guard (USCG), the U.S. Customs and Border Protection (CBP), the U.S. Environmental Protection Agency (EPA) and the U.S. Maritime Administration (MARAD), as well as in certain instances applicable state and local laws.
The company is also subject to the requirements of the Occupational Safety and Health Act, and comparable state laws and regulations that govern the protection of the health and safety of employees.
The company is subject to regulation under the U.S. Merchant Marine Act of 1920 (Jones Act) and related U.S. cabotage laws, which restrict ownership and operation of vessels in the U.S. coastwise trade (defined as trade between points in the U.S.), including the transportation of cargo. Subject to limited exceptions, the Jones Act requires that vessels engaged in U.S. coastwise trade be built in the U.S., registered under the U.S.-flag, manned by predominantly U.S. crews, and be owned, operated and controlled by U.S. citizens.
SEACOR Marine’s Third Amended and Restated Certificate of Incorporation (‘Certificate of Incorporation’) and Third Amended and Restated By-Laws (‘By-Laws’) include various provisions designed to facilitate compliance with the Jones Act, including provisions that: limit the aggregate percentage ownership by non-U.S. citizens of any class of SEACOR Marine’s capital stock (including Common Stock) to 22.5% of the outstanding shares of each such class to ensure that ownership by non-U.S. citizens will not exceed the maximum percentage permitted by applicable maritime law (presently 25%) but authorize the Board of Directors, under certain circumstances, to increase the foregoing percentage to 24%; permit the use of a dual stock certification system to help determine such ownership; provide that any issuance or transfer of shares in excess of such permitted percentage shall be ineffective as against SEACOR Marine and prohibit SEACOR Marine and its transfer agent from registering such purported issuance or transfer of shares or be required to recognize the purported transferee or owner as a stockholder of SEACOR Marine for any purpose whatsoever except to exercise its remedies; provide that the purported transferee of any such excess shares shall not have any voting or dividend rights; permit SEACOR Marine to redeem any such excess shares; and permit the Board of Directors to make such reasonable determinations as may be necessary to ascertain such ownership and implement such limitations. In addition, SEACOR Marine’s By-Laws limit the number of non-U.S. citizens that may serve as directors and restrict any non-U.S. citizen from, among other things, holding certain specified senior officer positions.
The Maritime Labour Convention, 2006 (the MLC) establishes comprehensive minimum requirements for working conditions of seafarers including, among other things, conditions of employment, hours of work and rest, grievance and complaints procedures, accommodations, recreational facilities, food and catering, health protection, medical care, welfare, and social security protection. The MLC defines seafarer to include all persons engaged in work on a vessel in addition to the vessel’s crew. As part of its safety management system (SMS), the company maintains a fleetwide plan designed to comply with the MLC to the extent applicable to its vessels.
The international classification society certifies that a vessel is maintained in accordance with the applicable rules and regulations of the vessel’s country of registry and SOLAS. Certain of the company's vessels are subject to the periodic inspection, survey, drydocking and maintenance requirements of the USCG, the American Bureau of Shipping (ABS) and other marine classification societies.
Under provisions of the Merchant Marine Act of 1936 (‘Marine Act’) and Chapter 563 of Title 46 of the U.S. Code, the company’s U.S.-flag vessels are subject to requisition, charter or purchase by the U.S. government under certain terms and conditions during a national emergency as described. Under certain circumstances, the company’s vessels are subject to requisition for ownership or use by governmental agencies.
A wide range of domestic governmental agencies, including the USCG, the EPA, the U.S. Department of Transportation’s Office of Pipeline Safety, the BSEE and certain individual states, regulate vessels and other structures in accordance with the requirements of the Oil Pollution Act of 1990 (‘OPA 90’) or analogous state law. There is little uniformity among the regulations issued by these agencies, which increases the company’s compliance costs and risk of non-compliance.
The International Safety Management Code (ISM Code), adopted by the International Maritime Organization (the IMO) as an amendment to SOLAS, provides international standards for the safe management and operation of ships and for the prevention of marine pollution from ships. The U.S. enforces the ISM Code for all U.S.-flag vessels and those foreign-flag vessels that call at the U.S. ports. All of the company’s vessels that are 500 or more gross tons are certified as required under the standards set forth in the ISM Code’s safety and pollution protocols. The company also voluntarily complies with these protocols for some vessels that are under the mandatory 500-gross ton threshold and many of the company’s customers contractually require compliance with these protocols regardless of the gross tonnage of the vessel. Under the ISM Code, vessel operators are required to develop an extensive SMS applicable to the vessel and shoreside personnel that includes, among other things, the adoption of a written system of safety and environmental protection policies setting forth instructions and procedures for operating their vessels subject to the ISM Code and describing procedures for responding to emergencies. The ISM Code also requires shipping companies to obtain certain safety certifications for each vessel subject to the ISM Code that it operates or manages, and for the manager of each such vessel.
The Clean Water Act (CWA) prohibits the discharge of ‘pollutants’ into the navigable waters of the U.S. The CWA also prohibits the discharge of oil or hazardous substances into navigable waters of the U.S. and the EEZ around the U.S. and imposes civil and criminal penalties for unauthorized discharges, thereby exposing the company to potential liability that is in addition to its exposure arising under OPA 90 and CERCLA.
The CWA also established the National Pollutant Discharge Elimination System (NPDES) permitting program, which governs discharges of pollutants into navigable waters of the U.S. Pursuant to the NPDES permitting program, the EPA has issued Vessel General Permits covering discharges incidental to normal vessel operations. The EPA issued the 2013 Vessel General Permit (2013 VGP) with an initial five-year term. In light of the legislation described below, the 2013 VGP continues to apply to the company’s U.S.-flag and foreign-flag commercial vessels that are at least 79 feet in length and operate within the three-mile territorial sea of the U.S. The 2013 VGP requires vessel owners and operators to adhere to ‘best management practices’ to manage the covered discharges that occur normally in the operation of a vessel, including ballast water, and implements various training, inspection, monitoring, record keeping, and reporting requirements, as well as corrective actions upon identification of deficiencies. The company has filed a Notice of Intent to be covered by the 2013 VGP for each of its ships that operate in U.S. waters.
The International Convention on Civil Liability for Bunker Oil Pollution Damage, 2001, was adopted to ensure that adequate, prompt and effective compensation is available to persons who suffer damage caused by spills of oil when used as fuel by vessels. The convention applies to damage caused to the territory, including the territorial sea, and in the EEZs, of the countries that are party to it. Although the U.S. has not ratified this convention, U.S.-flag vessels operating internationally are subject to it when they sail within the territorial waters of those countries that have implemented its provisions.
The company installs BWTS (ballast water treatment system) on its vessels as required by the USCG/EPA and BWM Convention.
The company’s operations occasionally generate and require the transportation, treatment and disposal of both hazardous and non-hazardous solid wastes that are subject in the U.S. to the requirements of the Resource Conservation and Recovery Act (RCRA) or comparable state, local or foreign requirements.
For operation within the European Union (E.U.), the company’s vessels need to meet the E.U. Ship Recycling Regulation that requires shipping companies to survey and record their inventory of hazardous materials. The company’s fleet is being impacted by changes to MARPOL and the International Code for the Construction and Equipment of Ships carrying Dangerous Chemicals in Bulk, which sets out international standards for the safe carriage, in bulk by sea, of dangerous chemicals and noxious liquid substances (NLS).
History
SEACOR Marine Holdings Inc. was founded in 1989. The company was incorporated in 2014 in Delaware.
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