BW Offshore cuts 2026 EBITDA guidance as Catcher extension lifts firm backlog

BW Offshore revised its full-year 2026 EBITDA guidance to $310 million-$340 million, down from $340 million-$370 million, citing reduced commercial uptime on BW Opal and amended commercial terms for BW Catcher. First-quarter EBITDA was $47.9 million, operating cash flow reached $43.3 million and net profit was $23.4 million.

The company ended March with $568.3 million of available liquidity and net cash of $166.7 million. Firm and probable operating cash flow backlog stood at $2.3 billion, of which 97% was firm.

The backlog increase followed amended terms for BW Catcher agreed after quarter-end. Effective from February 1, the changes added approximately $490 million to firm operating cash flow backlog and established a contract end framework of December 31, 2030, plus or minus six months. BW Offshore said the defined end date allows it to begin actively marketing the FPSO for redeployment.

BW Opal resumed gas production in early May after a March-April shutdown to clean its heat exchanger trains. Replacement of the unit’s compressor dry-gas seals was completed in March, while Santos and BW Offshore are reviewing the root cause analysis of the exchanger fouling. Commissioning continues, with practical completion expected in mid-2026.

BW Offshore also signed a FEED agreement with Equinor on April 29 for the Bay du Nord FPSO offshore Newfoundland and Labrador. The study is expected to continue through 2026 ahead of Equinor’s targeted final investment decision and potential contract award in early 2027. The agreement is not yet a firm FPSO award.

In floating wind, all three floaters for the 30 MW Eolmed project were connected to the grid and achieved first power in April. BW Offshore said its strategic review remains active, while its core focus continues to be growth of the FPSO business through an optimized capital structure and partnerships.