TechnipFMC PLC (FTI)

A. Company Overview

TechnipFMC plc is a prominent global technology provider specializing in the traditional and new energy sectors. The company delivers fully integrated projects, products, and services designed to revolutionize project economics in the energy industry. This transformation facilitates the development of energy resources while minimizing carbon emissions and supporting the broader energy transition goals of its clients. TechnipFMC operates primarily through two business segments: Subsea and Surface Technologies, which are crucial to its strategic vision of driving innovation and integrated ecosystems within the energy sector.

With a workforce comprising approximately 21,000 employees, TechnipFMC fosters a culture centered on client success, execution excellence, purposeful innovation, and challenging prevailing industry norms.

History

TechnipFMC was formed on January 17, 2017, through a merger of equals between FMC Technologies, Inc. and Technip S.A. This merger aimed to redefine subsea infrastructure development for oil and natural gas production using a groundbreaking integrated commercial model. By merging the subsea production system (SPS) capabilities with subsea umbilicals, risers, and flowlines (SURF), the company streamlines extensive subsea development projects through its integrated engineering, procurement, construction, and installation model, known as iEPCI™.

TechnipFMC has established itself as the sole subsea provider capable of integrating these components, creating a significant market presence and expanding opportunities in deepwater settings, even during challenging market conditions. Its iEPCI approach comprises nearly one-third of the overall subsea market, highlighting the advantages of its unique business model, which focuses on cost efficiency and expedited project timelines.

The company further streamlined its services on February 16, 2021, by spinning off Technip Energies, which handled design, project management, and construction services in the downstream sector. This strategic move resulted in two independent entities: TechnipFMC and Technip Energies, enhancing the agility of both organizations.

Following the spin-off, TechnipFMC voluntarily delisted its shares from Euronext Paris, opting for a single listing on the New York Stock Exchange to align better with its shareholder demographics and strategic focus.

Business Segments

Subsea

TechnipFMC's Subsea segment is dedicated to the integrated design, engineering, procurement, manufacturing, fabrication, installation, and lifecycle management of subsea systems and pipelines for oil and gas production and transportation. This segment boasts leadership in front-end engineering design (FEED), subsea production systems (SPS), SURF components, and subsea robotics.

The company emphasizes project economics through its integrated iEPCI model, which combines complementary expertise and innovative technologies. This model enables lower costs and quicker timelines while fostering collaborations based on mutual trust and knowledge exchange. TechnipFMC's subsea projects typically initiate with an iFEED study, allowing early engagement and integration of project concepts and designs.

In providing after-sale services, TechnipFMC continues to support its clients through its integrated Life Of Field (iLOF™) solutions, which focus on production optimization, asset life extension, and proactive maintenance strategies for subsea infrastructures.

Products and Services

• Subsea Production Systems (SPS): Critical for offshore oil and gas production, these systems control the flow of hydrocarbons from reservoirs to processing facilities.
• Subsea Processing Systems: Solutions aimed at improving production efficiency, recovery, and cost reduction for both new and existing field developments.
• SURF Solutions: The company designs, engineers, manufactures, and installs umbilicals, flexible pipes, and rigid pipelines.
• Vessel Operations: TechnipFMC manages a fleet of specialized vessels for product installation, including eight owned vessels, six within joint ventures, and two chartered.
• Subsea Robotics: The Schilling Robotics division provides advanced remotely operated vehicles (ROVs) and tooling systems designed to enhance deepwater exploration and production.

The Subsea segment is a vital contributor to TechnipFMC's growth strategy and is bolstered by robust collaborations with key clients and industry alliances.

Surface Technologies

The Surface Technologies segment specializes in designing, manufacturing, and servicing integrated products for onshore and shallow water drilling, stimulation, production, and measurement, as well as supporting carbon transportation and storage (iCTSTM), hydrogen storage, and geothermal development.

TechnipFMC provides:

• Drilling and Completion Systems: Comprehensive solutions that vary from standard to custom-engineered applications for oil and gas companies.
• Surface Wellheads and Production Trees: Essential systems for controlling the flow from wells, adaptable to multiple environments, including unconventional and traditional resources.
• Stimulation Equipment: Innovative tools for well completion and stimulation, including pressure control systems using smart technology.
• Flexible Pipe Products: Adaptations for drilling and stimulation operations, with a history in flexible pipe design dating back to the 1970s.

The segment is distinguished by its commitment to technological innovation and reducing carbon intensity in energy production.

New Energy Initiatives

TechnipFMC is focusing on advancing its New Energy initiatives, with a commitment to leveraging its existing resources and expertise to facilitate the energy transition. This includes exploring technology solutions for greenhouse gas removal, offshore renewable energy (wind, tidal, and wave), and hydrogen production, storage, and transportation.

Strategy

TechnipFMC's strategy revolves around innovation, client partnerships, and a focus on operational excellence across both business segments. Commitment to research and development drives continued growth, producing advanced integrated systems and enhancing the sustainability of energy production methods.

The company emphasizes a transition to a data-centric operational model, investing in automation and robotics to enhance efficiency while reducing carbon emissions. Central to TechnipFMC's strategy is the establishment of strong relationships with clients, built on transparency, collaboration, and a shared vision for sustainable development.

Research and Development

Research and development efforts are fundamental to TechnipFMC’s operations, aimed at enhancing existing solutions, developing specialized products, and creating entirely new technologies. The company actively pursues patent protections for its innovative designs and seeks to enhance its intellectual property portfolio continuously through strategic advancements in its offerings.