Nam Cheong secures long-term chartering contracts worth RM 130 million

SINGAPORE: SKOSV SDN BHD, an indirect subsidiary of Nam Cheong Limited, one of Malaysia’s largest Offshore Support Vessel (OSV) providers, has clinched long-term chartering contracts for three OSVs worth approximately RM 80 million with Malaysian oil majors, with an option for extension valued at RM50 million.[the_ad id=”31605″]The three vessels will be used to service works on floating LNG facilities and other production operations in Malaysian waters until 2022, with optional extension period running until 2024. The contracts are expected to contribute positively to the Group’s financial performance from the financial year ending 31 December 2019 through to 31 December 2022.

With the additional contracts, the Group’s chartering orderbook will grow to RM 295million (including option for extension of RM 140million).

Commenting on the new contract wins, Leong Seng Keat, Chief Executive Officer of Nam Cheong said, “Through years of unceasingly delivering performance, we have nurtured working relations that have withstood volatilities in the industry and solidified our expertise to build relations with new clients. With the OSV industry steadily gaining pace, our focus for growth now shifts to our 32-strong fleet as we bolster our chartering operations to capture the gradually recovering market. We are steadily scaling up our capabilities and expertise to better service oil and gas players’ offshore support needs, with an eye on other business opportunities in the offshore marine industry.”

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