Nam Cheong has announced today that it has been awarded a letter of intent (LOI) from Bumi Armada Navigation (BAN) for the sale of four Multi-Purpose Platform Supply Vessels (MPSVs). This also comes with an option to further build four additional units for BAN. The LOI, worth approximately US$130 million will constitute one of Nam Cheong’s biggest corporate win in its corporate history upon the materialisation and execution of the contracts.
Equipped with multi-purpose functions such as transporting cargo and to standby for rescue work, the vessels are built to support offshore deepwater activities.
In its press release, Nam Cheong’s Executive Director Leong Seng Keat, said that they are delighted to be awarded the LOI for such significant order, marking a major corporate milestone for Nam Cheong.
“In just the first six months of this year, the contract value of our order book is expected to soar to RM874 million after conclusion of the sale, surpassing last year’s order book of RM638 million,” said Leong.
Leong added that Nam Cheong is encouraged to be securing repeat orders from its established customers. He further reinforced that Nam Cheong’s established relationship with BAN is a testament to its strong fundamentals and track record of delivering quality vessels that meet its customers’ needs on time, every time.
The realised sale of the MPSVs is expected to contribute positively to the earnings in Nam Cheong for FY12 to FY15.