Seadrill (SDRL) and SapuraKencana Petroleum Berhad announce that their jointly owned entity, Sapura Navegação Marítima S.A., Brazil has been awarded a contract from Petróleo Brasileiro S.A. (PBR) to charter and operate three Pipe Laying Support Vessels. The contract is for a period of eight years with an extension option for an additional eight years and is expected to commence by the second quarter of 2016. Total revenue potential for the contract is expected to be $2.7B. The three vessels will be constructed in Holland with IHC Caland and will have the same specifications as SNM's existing orders with the yard. Total newbuild cost will be approximately $800M.