2008 Annual Report - SBM Offshore

SBM Offshore Annual Report 2008 / Financial Statements 2008 119In US$000 Land and Vessels Machinery Other fixed Assets Totalbuildings and floating and assets underequipment equipment construction2007Cost 92,743 2,328,146 476 59,562 197,252 2,678,179Accumulated depreciation and impairment (14,537) ( 966,483) (435) (34,502) – (1,015,957)Book value at 1 January 78,206 1,361,663 41 25,060 197,252 1,662,222Additions – 994 29 12,439 534,485 547,947Disposals ( 1,743) ( 1,000) ( 38) ( 2,771) – ( 5,552)Depreciation ( 2,025) ( 234,262) ( 9) ( 9,143) – ( 245,439)Exchange rate differences 8,914 1 2 2,534 170 11,621Other movements / deconsolidation 817 230,158 – 3,936 (243,315) ( 8,404)Total movements 5,963 ( 4,109) ( 16) 6,995 291,340 300,173Cost 99,879 2,503,665 58 72,289 488,592 3,164,483Accumulated depreciation and impairment (15,710) (1,146,111) ( 33) (40,234) – (1,202,088)Book value at 31 December 84,169 1,357,554 25 32,055 488,592 1,962,395Property, plant and equipment at year-end include:• ten (2007: twelve) integrated floating production, storage and offloading systems (FPSOs), eachconsisting of a converted tanker, a processing plant and a mooring system;• two (2007: three) floating storage and offloading systems (FSOs), consisting of a converted ornewbuild tanker and mooring system including the fluid transfer system;• one Extended Well Test System (2007: one);• three second-hand tankers and one barge (2007: one barge); The tankers are used for tradingpurposes until used for future projects;• one FPSO and one semi-submersible production platform under construction (2007: one FPSO andone semi-submersible production platform);• two MOPU(stor) facilities under construction (2007: two);• the ’Normand Installer’, a deepwater installation vessel;• the ’Dynamic Installer’, a dynamically positioned diving support vessel.An amount of US$ 20.1 million (2007: US$ 10.5 million) third party interest has been capitalised duringthe financial year under review as part of the additions to property, plant and equipment.The fair value of the major part of the property plant and equipment cannot be estimated precisely butis expected to be in excess of carrying values. Fair value information is therefore not included in thenotes to the financial statements.The category vessels and floating equipment mainly relates to the facilities leased to third parties.Vessels and floating equipment includes a net carrying amount of USD 89.0 million (2007: nil) relatingto finance lease arrangements of three second-hand tankers where the Company is the lessee. Theleases will mature in 2014 or sooner if the tankers will be required for FPSO conversion projects. Untilallocated to specific projects, the tankers will be used for trading purposes.