SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
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CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(D) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of Earliest Event Reported): October 13, 2000
MARINE SHUTTLE OPERATIONS INC.
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(Exact name of registrant as specified in its charter)
NEVADA 0-29796
91-1913992
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(State of Incorporation) (Commission File No.)
(I.R.S. Employer
Identification
No.)
Luramyrveien 29, Sadnes, Norway
N-4391
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(Address of principal executive offices)
(Zip Code)
011-47-51-962300
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(Registrant's telephone number, including area code)
ITEM 5. OTHER EVENTS.
On October 13, 2000, Marine Shuttle Operations Inc.
disseminated an informational letter to its shareholders. A copy of the
letter is attached hereto as Exhibit 5.1.
ITEM 7. FINANCIAL STATEMENTS, PRO FORMA FINANCIAL
INFORMATION AND EXHIBITS.
(c) Exhibits
Exhibit
Number Description
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5.1 Informational Letter to shareholders
of Marine Shuttle Operations Inc.
dated October 13, 2000.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of
1934, the Registrant has duly caused this report to be signed on its
behalf by the undersigned hereunto duly authorized.
MARINE SHUTTLE OPERATIONS INC.
Date: October 19, 2000
By:/s/ Franz Eder
Franz Eder, President
EXHIBIT INDEX
Exhibit
Number Description
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5.1 Informational Letter to shareholders of
Marine Shuttle Operations Inc.
dated October 13, 2000.
<PAGE>
EXHIBIT 5.1
[MARINE SHUTTLE LETTERHEAD]
October 13th, 2000
Information Letter
Dear Shareholder,
The purpose of this letter is to give you a short update on the status
of our efforts to bring the "Offshore Shuttle" to the market, particularly
our progress in meeting our three near term objectives - namely:
. the completion of the engineering of the Offshore Shuttle,
and entering into a lump sum engineering, procurement, and
construction ("EPC") contract;
. securing substantial additional financing, and
. securing initial operating contracts.
The completion of the engineering will help reduce the technical
risks associated with the Offshore Shuttle concept, and is critical in
enabling us to secure the EPC contract in a lump sum format. We
currently are in discussions with two international EPC contractors
regarding the EPC contract, and we have made some progress on the
engineering of the Offshore Shuttle. Some of the recent engineering
achievements include the following:
. Following a six-month study by ABB Lummus Global in
Houston, and in cooperation with Rexroth Hydraudyne, a
topside load transfer system has been designed. A patent
application has been made for this system, which we believe
will enable the Offshore Shuttle to pick up the offshore
structure without damage to the Offshore Shuttle or to the
structure.
. With the assistance of Marine Technology Consulting, we have
developed a computer simulation system, "ManoueuvSim,"
which simulates, with real environmental and load
information/data, the responses of the Offshore Shuttle in
operation. We believe ManoueuvSim will be useful in
completing the engineering of the Offshore Shuttle, and will
enable us to make operational adjustments in response to
forecasted changes in weather and sea conditions.
With regard to the securing of additional financing, in September
1999, the Board of Westdeutsche Landesbank Girozentrale (WestLB) of
Dusseldorf issued its conditional approval to underwrite a U.S. $157.5
million loan facility for the first Offshore Shuttle. Based on such
approval, we have mandated WestLB to act as sole arranger and
underwriter for the financing. WestLB's commitment is subject to
several material conditions, including satisfactorily completing its due
diligence, our obtaining European government guarantees to secure a
significant portion of the loan facility, and our completing of an
additional equity financing. We are seeking to fulfil these conditions.
We believe the market for installing and decommissioning
offshore oil and gas structures will exceed USD 75 billion over the next
25 years. We also believe the cost savings realized through the use of
the Offshore Shuttle (calculated by Amec Process & Energy, Sorco
Engineering and Seaways Heavy Lifting to be up to 40% as compared
to traditional methods) will help establish the Offshore Shuttle as the
preferred method of installing and decommissioning offshore oil and gas
structures. Although we have not entered into any contracts for the use
of our proposed services, several potential customers have expressed a
desire to analyze the Offshore Shuttle concept. Indeed, both Saipem
and Aker Marine Contractors Inc. have reviewed the use of the Offshore
Shuttle for installation of topsides in deepwater locations off West
Africa, Brazil and the Gulf of Mexico. In addition, we have been
awarded a Joint Industry Project ("JIP") covering the Offshore Shuttle.
The JIP is an initiative of five oil companies -- Elf Petroleum Norge
AS, Phillips Petroleum Company Norway, Shell UK Exploration and
Production, BP Amoco UK and Kerr-McGee North Sea (UK) Limited -
- to encourage the development of new technology for safe and
competitive removal of oil and gas platforms. Our aim is that the JIP
will verify the Shuttle concept as a superior technology to traditional
lifting and transporting methods. The award of the JIP is an important
step in the process of technical pre-qualification for tendering for
operating contracts.
We continue to believe that the Offshore Shuttle's anticipated
technical superiority and versatility will make it a unique, cost-effective
alternative solution for decommissioning and installing offshore
structures. We will continue to strive to meet the objectives we have
set.
We would also again take the opportunity to refer to our web pages
for general information and news relating to the Company. All our press
releases and financial information are put on the web, including the last
annual and quarterly accounts. By following the links on our web you
will also get access to all our filings made with the Securities and
Exchange Commission (SEC). Our internet address is www.msoinc.com.
As you may know we planned to have an information meeting this
autumn. However, the fact that we are listed with the SEC means that
we are subject to a strict regulatory framework with regard to any
information given by the company. As we currently are in the middle
of important work processes, we have therefore, after careful
consideration, decided to postpone the meeting until further notice.
If you have any questions, please feel free to contact Mr. Egil
Stokka at 0047-51-962317 in Norway.
Yours Sincerely,
Franz Eder
President
