I was rather disappointed by the lack of detail in the RNS announcing the Global Framework Agreement between Shell and Seeing Machines. In response to my questions below, Shell has provided more information but confirmed that it won’t disclose the financial details of the agreement.
1)What exactly is a Global Framework Agreement in this context? Does it for instance mean that the fine detail is still to be negotiated? The intent of the Global Framework is to settle the main terms and conditions for the contract, including commercial pricing information. We are able to negotiate these terms with Seeing Machines once, which then allows any Shell entity around the world to call off that agreement.
2) Is it possible to quantify the approximate minimum annual value of the contract? This will depend on the uptake of the Global Framework by local assets, which at this time is not defined.
3) What is the length of the contract? For example, is it a 3 or 5-year contract? The Global Framework is a 5-year contract, but local assets can sign ‘call offs’ against this Global Framework that could extend past 5 years.
4) Why did you choose Seeing Machines? If you underwent competitive trials how long did they last? As a global organisation, with responsibility for the safety of employees, contractors and the general public, we have an obligation to implement evidence-based risk management strategies to manage the hazard of fatigued and drowsy driving. We tested multiple driver monitoring technologies. We recognise Seeing Machines´ Guardian System to be very promising in its ability to detect drowsiness and fatigue, and alert the driver. It took just over a year to set up, conduct and assess the results of the test.
The writer holds stock in Seeing Machines.