TEEKAY OFFSHORE PARTNERS L.P. 
By HAMILTON, BERMUDA -- (Marketwired) -- 08/08/13 -- Highlights
Teekay Offshore GP LLC, the general partner of Teekay Offshore Partners L.P. (Teekay Offshore or the Partnership) (NYSE:TOO), today reported the Partnership's results for the quarter ended June 30, 2013. During the second quarter of 2013, the Partnership generated distributable cash flow(1) of $43.0 million, compared to $54.2 million in the same period of the prior year. On July 12, 2013, a cash distribution of $0.5253 per common unit was declared for the quarter ended June 30, 2013. The cash distribution is payable on August 9, 2013 to all unitholders of record on July 23, 2013. "During the second and third quarters of 2013 to-date, the Partnership completed a number of acquisitions, vessel deliveries and new contracts which the Partnership expects will all contribute to Teekay Offshore's future distributable cash flow growth," commented Peter Evensen, Teekay Offshore GP LLC's Chief Executive Officer. "In May and June 2013, respectively, we completed the accretive acquisitions of the Voyageur Spirit FPSO and a 50 percent interest in the Cidade de Itajai FPSO, bringing the Partnership's total FPSO fleet count to five units. Although issues were encountered in achieving full production on the Voyageur Spirit related to gas compression equipment, our sponsor, Teekay Corporation, will indemnify the Partnership for loss of revenues resulting from the delay in achieving final acceptance by the charterer. This indemnification will effectively be applied as reduction to the $540 million purchase price the Partnership paid to Teekay Corporation to acquire the Voyageur Spirit FPSO and will not impact the Partnership's distributable cash flow. For the second quarter of 2013, the amount of the purchase price adjustment was approximately $12.5 million. Since April 13, 2013, the Voyageur Spirit FPSO has been operating at partial production levels and is expected to reach full capacity levels during August 2013." Mr. Evensen continued, "During the second quarter, the Partnership also took delivery of the first two of four BG shuttle tanker newbuildings, the Samba Spirit and Lambada Spirit, with the remaining two BG shuttle tanker newbuildings, the Bossa Nova Spirit and Sertanejo Spirit, which recently secured long-term debt financing, scheduled for delivery in September and November of 2013. In addition, in May 2013, we were awarded a contact with Statoil Petroleum AS to convert the 1995-built shuttle tanker, the Randgrid, to an FSO unit. The converted FSO unit will operate on the Gina Krog oil and gas field in the North Sea under a new three-year charter contract, plus 12 additional one-year extension options, commencing in the first quarter of 2017." Mr. Evensen continued, "Looking ahead, Teekay Offshore continues to bid on new FPSO projects and are currently working on three customer-funded Front-end Engineering and Design, or FEED, studies. In addition, through our relationship with Remora AS, we are also engaged in a FEED study to develop the next generation of DP HiLoad offtake units."
Summary of Recent Transactions Voyageur Spirit FPSO Acquisition On May 2, 2013, the Partnership completed the acquisition of the Voyageur Spirit floating production, storage and offloading (FPSO) unit from Teekay Corporation for a purchase price of $540 million. The Voyageur Spirit FPSO unit has been contracted by E.ON Ruhrgas UK E&P Limited (E.ON) to operate on the Huntington Field in the North Sea under a five-year time-charter, plus up to 10 one-year extension options. The acquisition has been financed with a new $330 million debt facility secured by the FPSO unit, a portion of the proceeds from the public offering completed in September 2012, and an equity private placement of common units to Teekay Corporation completed in May 2013. On April 13, 2013, the Voyageur Spirit FPSO unit achieved first oil and began production. The charter contract with E.ON required the FPSO unit to achieve full production capability within a specified time period to receive final acceptance from E.ON. Due to a defective gas compressor on board the unit, the FPSO unit was unable to achieve final acceptance within the allowable timeframe, resulting in the FPSO unit being declared off-hire by the charterer retroactive to April 13, 2013. Under the Voyageur Spirit FPSO sale and purchase agreement between Teekay Corporation and Teekay Offshore, since Teekay Offshore acquired the Voyageur Spirit, Teekay Corporation warranted that the FPSO unit would be accepted by the charterer and agreed to indemnify Teekay Offshore for loss of revenue under the charter with E.ON from the date of acquisition until final acceptance is achieved, up to a maximum of $54 million. For the period from May 2, 2013 to June 30, 2013, the indemnification effectively resulted in a reduction to the Voyageur Spirit FPSO purchase price of approximately $12.5 million. The Partnership now expects the Voyageur Spirit FPSO to reach full production capacity in mid-August and achieve final acceptance by the end of August 2013. Teekay Corporation intends to enter into commercial negotiations with the charterer to seek compensation for the services provided by the FPSO unit to E.ON during the period prior to final acceptance since the FPSO has been operating and producing oil at partial production levels throughout the period since April 13, 2013. Any amounts relating to the indemnification from Teekay Corporation to Teekay Offshore will be effectively treated as a reduction in the purchase price paid by Teekay Offshore. In addition, any compensation received from the charterer during the indemnification period will reduce the amount of Teekay Corporation's indemnification to Teekay Offshore. Although the Partnership's reported revenues will be lower as a result of any off-hire relating to the Voyageur Spirit FPSO, there is no net impact on the Partnership's cash flows as a result of the Teekay Corporation indemnification. Acquisition of a 50 Percent Interest in Cidade de Itajai FPSO In June 2013, the Partnership completed the acquisition of a 50 percent interest in the Cidade de Itajai (Itajai) FPSO unit from Teekay Corporation for a purchase price of $204 million. The Itajai FPSO has been operating on the Baúna and Piracaba (previously named Tiro and Sidon) fields in the Santos Basin offshore Brazil since February 2013 under a nine-year fixed-rate time-charter contract, plus extension options, with Petroleo Brasileiro SA (Petrobras). The remaining 50 percent interest in the Itajai FPSO unit is owned by Brazilian-based Odebrecht Oil & Gas S.A. (a member of the Odebrecht group) (Odebrecht). The acquisition was financed with the assumption of 50% of the joint venture's outstanding debt of approximately $290 million and approximately $54 million with proceeds from the equity private placement completed in April 2013. Statoil FSO Contract In May 2013, the Partnership entered into an agreement with Statoil Petroleum AS (Statoil), on behalf of the field license partners, to provide a floating storage and offtake (FSO) unit for the Gina Krog oil and gas field located in the North Sea. The contract will be serviced by a new FSO unit converted from the 1995-built shuttle tanker, Randgrid, which the Partnership currently owns through a 67 percent-owned subsidiary. The FSO conversion project is expected to be completed for a net capital cost of approximately $220 million, including the cost of acquiring the remaining 33 percent ownership interest in the Randgrid shuttle tanker. Following scheduled completion in early 2017, the newly converted FSO unit will commence operations under a three-year firm period time-charter contract to Statoil, which includes 12 additional one-year extension options. Salamander Energy FSO Contract In May 2013, the Partnership finalized the ten-year charter contract, plus extension options, with Salamander Energy plc (Salamander) to supply an FSO unit in Asia. The Partnership will convert its 1993-built shuttle tanker, the Navion Clipper, into an FSO unit for an estimated fully built-up cost of approximately $50 million. The unit is expected to commence its contract with Salamander in the third quarter of 2014. Teekay Offshore's Fleet The following table summarizes Teekay Offshore's fleet as of August 1, 2013.
Other Future Growth Opportunities Pursuant to an omnibus agreement that the Partnership entered into in connection with our initial public offering in December 2006, Teekay Corporation is obligated to offer to the Partnership its interest in certain shuttle tankers, FSO units and FPSO units Teekay Corporation owns or may acquire in the future, provided the vessels are servicing contracts with remaining durations of greater than three years. The Partnership may also acquire other vessels that Teekay Corporation may offer it from time to time and also intends to pursue direct acquisitions from third parties and new organic offshore projects. Shuttle Tankers In June 2011, the Partnership entered into a new long-term contract with a subsidiary of BG Group plc (BG) to provide shuttle tanker services in Brazil. The contract with BG will be serviced by four Suezmax newbuilding shuttle tankers (the BG Shuttle Tankers), constructed by Samsung Heavy Industries for an estimated total cost of approximately $446 million (excluding capitalized interest and miscellaneous construction costs). The BG Shuttle Tankers will operate under ten-year, fixed-rate time-charter-out contracts, which include certain extension options and vessel purchase options exercisable by the charterer. In May 2013, the Partnership took delivery of the Samba Spirit, the first of the four shuttle tanker newbuildings, which commenced its time-charter contract with BG in late June 2013. In June 2013, the Partnership took delivery of the Lambada Spirit, the second of the four shuttle tanker newbuildings, which will commence its time-charter contract with BG in August 2013. The remaining two shuttle tanker newbuildings, which recently received financing commitments through a ten-year senior secured private placement, are scheduled to be delivered in September 2013 and November 2013, respectively. In November 2012, the Partnership agreed to acquire a 2010-built HiLoad Dynamic Positioning (DP) unit from Remora AS (Remora), a Norway-based offshore marine technology company, for a total purchase price of approximately $55 million, including modification costs. The acquisition of the HiLoad DP unit, which will operate under a ten-year time-charter contract with Petrobras in Brazil, was completed in August 2013 and the unit is expected to commence operations at its full time-charter rate in early 2014 once modifications, delivery of the DP unit to Brazil, and operational testing have been completed. Under the terms of an agreement between Remora and Teekay Offshore, the Partnership has the right of first refusal to acquire any future HiLoad DP projects developed by Remora. In July 2013, Remora was awarded a contract by BG Brasil to perform a FEED study to develop the next generation of HiLoad DP units. The design, which is based on the main parameters of the first generation design, will include new features, such as increased engine power and the capability to maneuver vessels larger than Suezmax conventional tankers. FPSO Units In May 2011, Teekay Corporation entered into a joint venture agreement with Odebrecht to jointly pursue FPSO projects in Brazil. Odebrecht is a well-established Brazil-based company that operates in the engineering and construction, petrochemical, bioenergy, energy, oil and gas, real estate and environmental engineering sectors, with over 120,000 employees and a presence in over 20 countries. As part of the joint venture agreement, Odebrecht is a 50 percent partner in the Cidade de Itajai FPSO project and Teekay Corporation is currently working with Odebrecht on other FPSO project opportunities that, if awarded, may result in the Partnership being able to acquire Teekay Corporation's interests in such projects pursuant to the omnibus agreement. Pursuant to the omnibus agreement and subsequent agreements, Teekay Corporation is obligated to offer to sell to the Partnership the Petrojarl Foinaven FPSO unit, an existing unit owned by Teekay Corporation and operating under a long-term contract in the North Sea, prior to July 9, 2014. The purchase price for the PetrojarlFoinaven would be its fair market value plus any additional tax or other costs incurred by Teekay Corporation to transfer ownership of this FPSO unit to the Partnership. In June 2011, Teekay Corporation entered into a contract with BG Norge Limited to provide a harsh weather FPSO unit to operate in the North Sea. The contract will be serviced by an FPSO unit being constructed by Samsung Heavy Industries for a fully built-up cost of approximately $1 billion. Pursuant to the omnibus agreement, Teekay Corporation is obligated to offer to the Partnership its interest in this FPSO project at Teekay Corporation's fully built-up cost within a year after the commencement of the charter, which commencement is expected to occur mid-2014. In November 2011, Teekay Corporation acquired from Sevan Marine ASA, a Norway-based developer of cylindrical-shaped FPSO units, the Hummingbird Spirit FPSO unit, which is currently operating under a short-term charter contract. Pursuant to the omnibus agreement, Teekay Corporation is obligated to offer to the Partnership the Hummingbird Spirit FPSO unit within approximately one year following commencement of a charter contract with a firm period of greater than three years in duration. Teekay Corporation owns two additional FPSO units, the Petrojarl Banff FPSO and the Petrojarl 1 FPSO, which may also be offered to the Partnership in the future pursuant to the omnibus agreement. Financial Summary The Partnership reported adjusted net income attributable to the partners(1) of $9.7 million for the quarter ended June 30, 2013, compared to $20.6 million for the same period of the prior year. Adjusted net income attributable to the partners excludes a number of specific items that had the net effect of increasing net income by $47.9 million and decreasing net income by $32.8 million for the quarters ended June 30, 2013 and June 30, 2012, respectively, as detailed in Appendix A to this release. Including these items, the Partnership reported, on a GAAP basis, net income attributable to the partners of $57.6 million for the second quarter of 2013, compared to a net loss of $12.1 million in the same period of the prior year. Net revenues(2) increased to $199.1 million for the second quarter of 2013, compared to $190.5 million in the same period of the prior year. The Partnership reported adjusted net income attributable to the partners(1) of $28.6 million for the six months ended June 30, 2013, compared to $46.7 million for the same period of the prior year. Adjusted net income attributable to the partners excludes a number of specific items that had the net effect of increasing net income by $49.2 million and decreasing net income by $6.2 million for the six months ended June 30, 2013 and June 30, 2012, respectively, as detailed in Appendix A to this release. Including these items, the Partnership reported, on a GAAP basis, net income attributable to the partners of $77.7 million for the six months ended June 30, 2013, compared to $40.5 million in the same period of the prior year. Net revenues(2) for the six months ended June 30, 2013 was $388.3 million, which is consistent with the same period of the prior year.
Adjusted net income attributable to the partners for the three and six months ended June 30, 2013 declined from the same periods in the prior year, mainly due to the Voyageur Spirit FPSO off-hire discussed elsewhere in this release and the sale and lay-up of older shuttle and conventional tankers during 2012 and 2013 as their related charter contracts expired or terminated. In addition, there is a higher level of maintenance activity in the FPSO fleet during the first six months of 2013. Given the delay in the achieving final acceptance for the Voyageur Spirit FPSO unit, the Partnership has not recorded the revenues associated with its operations in the second quarter; however, $12.5 million has been reimbursed by our sponsor, Teekay Corporation, which is recorded in equity as an adjustment to the purchase price. As a result of the indemnification from Teekay Corporation, there is no net impact on the Partnership's cash flows relating to the Voyageur Spirit FPSO off-hire. Adjusted net income is expected to increase during the latter half of 2013 when the Voyageur Spirit reaches final acceptance and the four shuttle tanker newbuildings begin their time-charter contracts in Brazil. For accounting purposes, the Partnership is required to recognize, through the consolidated statements of income (loss), changes in the fair value of certain derivative instruments as unrealized gains or losses. This revaluation does not affect the economics of any hedging transactions nor does it have any impact on the Partnership's actual cash flows or the calculation of its distributable cash flow. The Partnership has recast its financial results to include the results of the Voyageur Spirit FPSO unit relating to the period prior to its acquisition by the Partnership from Teekay when it was under common control, which pre-acquisition results are referred to in this release as the Dropdown Predecessor. In accordance with GAAP, business acquisitions of entities under common control that have begun operations are required to be accounted for in a manner whereby the Partnership's financial statements are retroactively adjusted to include the historical results of the acquired vessels from the date the vessel was originally under the control of Teekay. For these purposes, the Voyageur Spirit FPSO was under common control by Teekay from April 13, 2013 to May 2, 2013, when it was sold to the Partnership. Operating Results The following table highlights certain financial information for Teekay Offshore's four segments: the Shuttle Tanker segment, the FPSO segment, the Conventional Tanker segment and the FSO segment (please refer to the "Teekay Offshore's Fleet" section of this release above and Appendix D for further details).
Shuttle Tanker Segment Cash flow from vessel operations from the Partnership's Shuttle Tanker segment in the second quarter of 2013 of $54.4 million was comparable with the $54.3 million generated in the second quarter of 2012. Higher revenues from increased rates on both time-charter and contract of affreightment contracts as well as new contracts were partially offset by the lay-up of the Navion Torinita and the Navion Clipper upon expiration of their time-charter contracts in the second and fourth quarters of 2012, respectively, and the sales of the Navion Fennia and Navion Savonita in the third and fourth quarters of 2012, respectively. FPSO Segment Cash flow from vessel operations from the Partnership's FPSO segment, including the equity-accounted vessel, decreased to $18.5 million for the second quarter of 2013 compared to $22.3 million for the same period of the prior year, primarily due to the higher maintenance costs and higher crew wages, partially offset by cash flow from the Itajai FPSO. Conventional Tanker Segment Cash flow from vessel operations from the Partnership's Conventional Tanker segment decreased to $11.8 million in the second quarter of 2013 compared to $25.2 million for the same period of the prior year primarily due to a $14.7 million termination fee received from Teekay Corporation in the second quarter of 2012 for the termination of the time-charter contract for the Hamane Spirit as well as the sale of five conventional tankers during the past twelve months. This was partially offset by a $4.5 million termination fee received in the second quarter of 2013 for the termination of the Gotland Spirit time-charter contract with Teekay Corporation. FSO Segment Cash flow from vessel operations from the Partnership's FSO segment in the second quarter of 2013 decreased to $6.7 million compared from $8.0 million generated in the same period of the prior year primarily due to higher vessel operating expenditures related to an underwater inspection of the Dampier Spirit, as well as an increase in crewing costs in the FSO fleet. Liquidity and Continuous Offering Program Update In May 2013, the Partnership implemented a continuous offering program (COP) under which the Partnership may issue new common units, representing limited partner interests, at market prices up to maximum aggregate amount of $100 million. Through June 30, 2013, the Partnership sold an aggregate of 85,508 common units under the COP, generating proceeds of approximately $2.7 million (including the Partnership's general partner's 2 percent proportionate capital contribution and net of offering costs). The net proceeds from the issuance of these common units were used for general partnership purposes. As of June 30, 2013, the Partnership had total liquidity of $286.7 million, which consisted of $163.7 million in cash and cash equivalents and $123.0 million in undrawn revolving credit facilities. Including the $200 million revolving credit facility relating to the Varg FPSO completed in July 2013, the Partnership had total liquidity of approximately $487 million as at June 30, 2013. Conference Call The Partnership also plans to host a conference call on Friday, August 9, 2013 at noon (ET) to discuss the results for the second quarter of 2013. All unitholders and interested parties are invited to listen to the live conference call by choosing from the following options:
A supporting Second Quarter 2013 Earnings Presentation will also be available at www.teekayoffshore.com in advance of the conference call start time. The conference call will be recorded and available until Friday, August 16, 2013. This recording can be accessed following the live call by dialing 1-888-203-1112 or 647-436-0148, if outside North America, and entering access code 2823263. About Teekay Offshore Partners L.P. Teekay Offshore Partners L.P. is an international provider of marine transportation, oil production and storage services to the offshore oil industry focusing on the fast-growing, deepwater offshore oil regions of the North Sea and Brazil. Teekay Offshore is structured as a publicly-traded master limited partnership and owns interests in 36 shuttle tankers (including four chartered-in vessels and two committed newbuildings), five floating production, storage and offloading (FPSO) units, six floating storage and offtake (FSO) units (including one FSO unit under conversion) and five conventional oil tankers. The majority of Teekay Offshore's fleet is employed on long-term, stable contracts. In addition, Teekay Offshore has rights to participate in certain other FPSO and shuttle tanker opportunities provided by Teekay Corporation (NYSE:TK) and Sevan Marine ASA (Oslo Bors:SEVAN). Teekay Offshore's common units trade on the New York Stock Exchange under the symbol "TOO."
Set forth below is a reconciliation of the Partnership's unaudited adjusted net income attributable to the partners, a non-GAAP financial measure, to net income (loss) attributable to the partners as determined in accordance with GAAP. The Partnership believes that, in addition to conventional measures prepared in accordance with GAAP, certain investors use this information to evaluate the Partnership's financial performance. The items below are also typically excluded by securities analysts in their published estimates of the Partnership's financial results. Adjusted net income attributable to the partners is intended to provide additional information and should not be considered a substitute for measures of performance prepared in accordance with GAAP.
Description of Non-GAAP Financial Measure - Distributable Cash Flow (DCF) Distributable cash flow represents net income (loss) adjusted for depreciation and amortization expense, non-controlling interest, net loss in the Dropdown Predecessor, non-cash items, distributions relating to equity financing of newbuilding installments and on our preferred units, certain realized losses on forward contracts, vessel acquisition costs, estimated maintenance capital expenditures, unrealized gains and losses from derivatives, non-cash income taxes, foreign currency and unrealized foreign exchange related items. Maintenance capital expenditures represent those capital expenditures required to maintain over the long-term the operating capacity of, or the revenue generated by, the Partnership's capital assets. Distributable cash flow is a quantitative standard used in the publicly-traded partnership investment community to assist in evaluating a partnership's ability to make quarterly cash distributions. Distributable cash flow is not defined by GAAP and should not be considered as an alternative to net income or any other indicator of the Partnership's performance required by GAAP. The table below reconciles distributable cash flow to net income (loss) for the quarters ended June 30, 2013 and June 30, 2012, respectively.
Description of Non-GAAP Financial Measure - Net Revenues Net revenues represents revenues less voyage expenses, which comprise all expenses relating to certain voyages, including bunker fuel expenses, port fees, canal tolls and brokerage commissions. Net revenues is a non-GAAP financial measure used by certain investors to measure the financial performance of shipping companies, however, it is not required by GAAP and should not be considered as an alternative to revenues or any other indicator of the Partnership's performance required by GAAP.
Description of Non-GAAP Financial Measure - Cash Flow from Vessel Operations from Consolidated Vessels Cash flow from vessel operations from consolidated vessels represents income from vessel operations before depreciation and amortization expense, write down of vessels and amortization of deferred gains, includes the realized gains (losses) on the settlement of foreign exchange forward contracts and cash flow from vessel operations relating to its discontinued operations and excludes the cash flow from vessel operations relating to the Partnership's Dropdown Predecessor and adjusting for direct financing leases to a cash basis. Cash flow from vessel operations is included because certain investors use this data to measure a company's financial performance. Cash flow from vessel operations is not required by GAAP and should not be considered as an alternative to net income (loss) or any other indicator of the Partnership's performance required by GAAP.
Description of Non-GAAP Financial Measure - Cash Flow from Vessel Operations from Equity Accounted Vessel Cash flow from vessel operations from equity accounted vessel represents income from vessel operations before depreciation and amortization expense. Cash flow from equity accounted vessel represents the Partnership's proportionate share of cash flow from vessels operations from its equity accounted vessel, the Itajai FPSO unit. Cash flow from vessel operations from equity accounted vessel is included because certain investors use cash flow from vessel operations to measure a company's financial performance, and to highlight this measure for the Partnership's equity accounted joint venture. Cash flow from vessel operations from equity accounted vessel is not required by GAAP and should not be considered as an alternative to equity income or any other indicator of the Partnership's performance required by GAAP.
This release contains forward-looking statements (as defined in Section 21E of the Securities Exchange Act of 1934, as amended) which reflect management's current views with respect to certain future events and performance, including statements regarding: the expected contribution of recent acquisitions, vessel deliveries and new contracts to cash flow growth; the timing of the Voyageur Spirit achieving final acceptance and commencing full operations under the E.ON contract; the timing of the Lambada Spirit shuttle tanker commencing its contract with BG; the timing of the HiLoad DP unit commencing its 10-year time-charter contract with Petroleo Brasileiro SA; the potential for the Partnership to acquire future HiLoad projects developed by Remora, including development of the next generation HiLoad DP units with BG Brasil; the timing of and cost of converting the Navion Clipper into an FSO unit and the timing of the commencement of its 10-year charter contract with Salamander; the timing of and cost of converting the Randgrid into an FSO unit and the timing of the commencement of the commencement of its 3-year charter contract with Statoil; the potential for Teekay Corporation to offer additional vessels to the Partnership and the Partnership's acquisition of any such vessels, including the Petrojarl Foinaven, the Hummingbird Spirit and the newbuilding FPSO unit that will service the Knarr field under contract with BG Norge Limited; the timing of delivery of vessels under construction or conversion; and the potential for the Partnership to acquire other vessels or offshore projects from Teekay Corporation or directly from third parties. The following factors are among those that could cause actual results to differ materially from the forward-looking statements, which involve risks and uncertainties, and that should be considered in evaluating any such statement: vessel operations and oil production volumes; the inability of the Voyageur Spirit FPSO to complete the repair of its compressors, achieve full production and receive final acceptance by E.ON during August 2013; the potential for the loss of revenue under the charter with E.ON from the date of acquisition until final acceptance exceeds Teekay Corporation's maximum indemnification of $54 million; significant changes in oil prices; variations in expected levels of field maintenance; increased operating expenses; different-than-expected levels of oil production in the North Sea and Brazil offshore fields; potential early termination of contracts; potential delays to the commencement of the BG shuttle tanker time-charters; failure of Teekay Corporation to offer to the Partnership additional vessels; the inability of the joint venture between Teekay Corporation and Odebrecht to secure new Brazil FPSO projects that may be offered for sale to the Partnership; the inability of Remora to develop future HiLoad DP units; failure to obtain required approvals by the Conflicts Committee of Teekay Offshore's general partner to approve the acquisition of vessels offered from Teekay Corporation, or third parties; the Partnership's ability to raise adequate financing to purchase additional assets; delays in vessel deliveries or conversions; and other factors discussed in Teekay Offshore's filings from time to time with the SEC, including its Report on Form 20-F for the fiscal year ended December 31, 2012. The Partnership expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the Partnership's expectations with respect thereto or any change in events, conditions or circumstances on which any such statement is based. Source: Teekay Offshore Partners L.P. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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