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Oceaneering International OII, a global leader in engineered services and products, has once again demonstrated its unmatched capability in offshore operations by securing a significant contract from Esso Exploration Angola (Block 15) Limited, an affiliate of ExxonMobil. This multi-year agreement, commencing on July 1, 2025, underlines Oceaneering’s robust presence and long-term commitment to Angola’s offshore energy industry.
This contract, valued between $80 million and $90 million over a three-year period, was awarded following a rigorous and competitive tendering process. The deal strengthens Oceaneering’s position as a leading provider of subsea robotics and integrated offshore solutions in West Africa. The scope of the contract is comprehensive, covering advanced remotely operated vehicles (ROVs), sophisticated ROV tooling, intervention workover control systems (“IWOCS”), satellite communication systems, hydrate remediation services, subsea inspection and expert engineering support.
The awarded work will be executed using Esso-provided offshore facilities, including state-of-the-art intervention vessels and offshore drilling rigs. Oceaneering’s ability to deliver on such a wide-ranging scope is a testament to its integrated service model and deep technical expertise.
The deployment of multiple work-class ROVs under this contract signifies Oceaneering’s technical edge in delivering high-precision subsea operations. These ROVs are engineered to operate in the harshest deepwater environments and supported by a comprehensive suite of modular tooling packages tailored to meet Esso’s operational objectives.
The inclusion of ROV tooling is pivotal to mission success, allowing for enhanced versatility in subsea manipulation, inspection and repair. With Oceaneering’s industry-proven eNovus and Magnum work-class ROVs, clients can expect unparalleled performance and reliability under extreme conditions.
Oceaneering’s provision of IWOCS further amplifies its value proposition. These systems play a critical role in supporting well commissioning, maintenance and intervention activities. Engineered for both rig-based and rigless interventions, Oceaneering’s IWOCS technology is recognized for its modular design, rapid mobilization capability and seamless integration with various subsea infrastructure.
The inclusion of IWOCS in this contract ensures Esso can conduct cost-effective and efficient well servicing operations while maintaining high safety and operational uptime.
With this contract, Oceaneering continues to demonstrate its strengths in subsea inspection, engineering design and hydrate remediation. Leveraging proprietary inspection technologies and data analytics, the company delivers real-time integrity insights that are critical for asset lifecycle management. Subsea structures, pipelines and equipment are thoroughly analyzed using advanced imaging and NDT techniques.
Moreover, Oceaneering’s proactive hydrate remediation solutions help prevent flow assurance challenges that can significantly impact offshore production. Using thermal, chemical and mechanical remediation techniques, the company ensures uninterrupted flow and optimal system performance in deepwater environments.
A noteworthy aspect of the contract is the integration of satellite communication systems into offshore workflows. Oceaneering’s secure and reliable satcom infrastructure guarantees uninterrupted communication between offshore assets and onshore command centers, enabling remote monitoring, diagnostics and rapid decision-making.
This digital backbone allows Esso to execute complex subsea operations with full visibility and coordination, a critical component of modern offshore asset management.
Oceaneering’s operations in Angola are anchored by its subsidiaries, Oceaneering Angola, S.A. and Oceaneering Marine Technologies Ltd., both of which play a key role in supporting the country’s local economy. Through continued investments in training, recruitment and technology transfer, Oceaneering is helping build a sustainable local workforce with world-class capabilities.
This contract also supports Oceaneering’s long-term strategy of strengthening its presence in Africa by aligning with national content development goals. By working collaboratively with Angolan authorities and partners, Oceaneering ensures its operations deliver value far beyond the oilfield.
Angola Block 15 is one of the most prolific offshore blocks in West Africa, producing significant volumes of oil for global markets. Esso, as the block operator, has made considerable investments in maintaining and enhancing production efficiency across its assets. By entrusting Oceaneering with mission-critical subsea services, Esso is ensuring that production goals are met with the highest standards of safety and innovation.
This contract win underlines the strategic alignment between Esso’s operational requirements and Oceaneering’s ability to deliver integrated subsea solutions that drive long-term performance and sustainability.
Commenting on the award, Martin McDonald, senior vice president of Subsea Robotics at Oceaneering, stated, “Securing this contract renewal with Esso, a key customer, through a competitive process reinforces our position as a trusted partner in Angola’s offshore energy sector. This award not only reflects our capabilities in-country for subsea robotics and intervention services but also supports our continued growth in a strategically important region.”
This recognition from a long-standing client such as ExxonMobil’s affiliate affirms Oceaneering’s excellence in delivering complex offshore engineering solutions and digital-enabled services that align with the energy industry’s evolving needs.
This contract is not only a commercial success but also a strategic win that strengthens Oceaneering’s influence in the global offshore energy landscape. As the energy industry moves toward more complex deepwater developments, the demand for integrated solutions providers like Oceaneering is expected to grow.
With ongoing technological advancements, digital integration and a focus on sustainable operations, Oceaneering is well-positioned to capture future opportunities in Angola, West Africa and beyond. The successful execution of this contract will further solidify its role as a partner of choice for major operators looking to maximize asset performance and extend field life.
The awarding of this significant contract by Esso highlights Oceaneering’s unwavering commitment to technical excellence, operational reliability and local engagement. Through cutting-edge ROV technology, intelligent subsea systems and a highly skilled workforce, Oceaneering continues to set new benchmarks for offshore services in Angola and across the globe. As we move deeper into a new era of energy innovation, Oceaneering remains at the forefront, delivering integrated solutions that power the future of offshore energy.
Currently, OII has a Zacks Rank #2 (Buy).
Investors interested in the energy sector might look at some other top-ranked stocks like Kodiak Gas Services KGS, which sports a Zacks Rank #1 (Strong Buy), Williams Companies WMB and Arc Resources AETUF, each holding a Zacks Rank #2 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Kodiak Gas Services is valued at $2.85 billion and offers contract compression along with related infrastructure services to the U.S. oil and gas sector. Operating through its Contract Services and Other Services segments, Kodiak Gas Services supports natural gas and oil production with fixed-revenue contracts and a range of ancillary services.
Oklahoma-based Williams Companies, with a valuation of $70.99 billion, is an energy infrastructure firm operating primarily in the United States. It manages approximately 33,000 miles of pipelines through four main segments: Transmission & Gulf of Mexico, Northeast G&P, West and Gas & NGL Marketing Services. These segments support the gathering, processing, storage, marketing and transportation of natural gas and NGLs across major shale regions and markets.
Arc Resources, with a valuation of $11.79 billion, is a leading oil and gas company, focused on the exploration, development and production of energy assets predominantly in Western Canada. Founded in 1996, Arc Resources has grown to become one of Canada’s prominent mid-sized energy producers.
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This article originally published on Zacks Investment Research (zacks.com).
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