SembMarine Clinches Multi-Billion Brazilian Contract
Sembcorp Marine’s Jurong Offshore announced today that it had clinched several contracts to the tune of US$4 billion from Sete Brasil. The contracts entail the design and construction of five drillships based on its internal Jurong Espadon drillship design. According to SembMarine’s media communiqué, the proprietary design represents “the next generation of high-specification drillships with advanced capabilities for operational efficiency and ultra-deepwater operations worldwide”. The drillships are forecast to be delivered between 2Q15 and 2Q19 with these drillships being the first in a series of drillships to be built in Brazil to cater to the oil and gas discoveries in the Santos Basin. Wong Weng Sun, president and chief executive officer of SembMarine said that the contract award for the five drillships was “prestigious” and that the company was gratified by the “continued confidence” in its design and capabilities. Wong also said that the series of contract wins will provide “impetus” for the company to accelerate its ship building programme in Brazil.
Significance: While the contract wins will not be able to contribute significantly in the current financial year, the wins will definitely provide a significant boost to the company’s order books as well as future earnings.
Ezion Doubles 2Q12 Net Profits
Ezion Holdings posted another strong set of financial results for the three months ended 30 June, with revenue leaping 41.2 percent to US$37.2 million from US$37.2 million and earnings more than doubled to US$28.1 million from US$12.2 million. The group attributed the increase in revenue to the chartering contribution from deployment of two additional units of its multi-purpose self-propelled jack-up rig and third party vessels in support of the Gorgon gas field in Australia, as well as a gain from the divestment of a subsidiary. For the cumulative half year period, revenue leaped 41.7 percent to US$67.7 million while earnings jumped 21.7 percent to US$42.2 million. Separately, Ezion announced that out of the net proceeds of $94.6 million from its placement earlier, approximately $48.7 million has been utilised for the acquisition of offshore and marine assets.
Significance: With the strong demand in the oil and gas industry, Ezion is expected to enjoy higher revenue from the deployment of more assets, as well as its QCLNG project in Australia. Furthermore, Ezion’s cash and cash equivalents stood at a strong US$111 million as at 30 June, allowing the company to pursue more business opportunities.
FJB To Bring Padini To Indonesia
Fj Benjamin (FJB) has inked an exclusive 10-year deal with Malaysia’s Padini Group to distribute trendy and affordable VNC products in Indonesia. VNC products are sold under Padini’s Vincci label in Malaysia. The agreement will see FJB’s associate, PT Gilang Agung Persada open a total of 25 stores over five years in Indonesia. Nash Benjamin, chief executive officer of FJB felt that the VNC products will be able to “find favour with increasingly affluent Indonesians as they have with Malaysians”. Benjamin likened the brand to being synonymous with style at affordable prices. Drawing inspiration from European fashion houses, Vincci creates footwear which is both distinctive and desirable. Its affordable pricing and quick-to-market strategy has increased its appeal among fashionable, young working women.
Significance: Indonesia’s burgeoning middle income group will offer a large market for the partnership between FJB and Pardini. If executed well, Indonesia could be impetus for both parties’ growth, moving forward.
From all of us at the editorial team, we would like to wish Singapore and all Singaporeans a happy 47th National Day!