Shawcor Ltd. (TSX: SCL) (“Shawcor” or the “Company”) announced today that its pipe coating division, Pipeline Performance Group (“PPG”), has received a formal contract award for a development project, located offshore in South America. The Company had previously announced its conditional award, pending project sanction, in late 2022. Shawcor will provide thermal insulation and anticorrosion coating services from a Western Hemisphere facility. Project initiation is expected to begin in the fourth quarter of 2023. The coating value of this project is estimated to exceed C$110M.

“This award follows successful execution of coating activities on numerous development projects in the region,” said Fernando Ulecia, PPG’s VP of Western Hemisphere. “Our differentiated coating solutions have proven to be well suited for these challenging deep-water environments.”

Kevin Reizer, Group President of PPG, added, “This award provides further confidence that offshore activity is accelerating, especially in deep-water. Our global network of coating and insulation facilities is well suited to significantly participate in this expansion.”