INTRODUCTION
The Board of Directors of Sealink International Berhad ("SEALINK" or "the Company") is pleased to announce that SEALINK Group has secured contracts for two (2) long term charters for offshore support vessel and the sale of another offshore support vessel for a total consideration of approximately RM58 million.
DETAILS OF THE CONTRACTS
Sealink Sdn Bhd, a wholly owned subsidiary of Sealink, had secured a long term charter for a offshore supply vessel, due for completion and delivery in the third (3) quarter of 2010 by Sealink Engineering and Slipway Sdn Bhd (“SESSB”), a wholly owned subsidiary of Sealink. The charter contract is for a period of one (1) year commencing September 2010.
Sealink Sdn Bhd, a wholly owned subsidiary of Sealink, had also secured another long term charter for a utility vessel completed by Sealink Shipyard Sdn Bhd (“SSSB”), a wholly owned subsidiary of Sealink. The charter contract is for a period of two (2) years commencing February 2010.
SESSB had secured a contract for the sale of one (1) Offshore Support Vessel to an overseas client and the vessel is expected to be delivered by the second (2) quarter of 2010.
FINANCIAL EFFECTS
The contracts, valued at approximately RM58 million are expected to contribute positively to the earnings and net assets of SEALINK for the financial year ending 31 December 2010 and beyond. Notwithstanding this, the above contracts are not expected to have any material effects on the share capital and shareholding structure of the Company.
DIRECTORS' AND MAJOR SHAREHOLDERS' INTERESTS
None of the Directors or major shareholders or persons connected to the Directors or major shareholders has any direct or indirect interest in the contracts.
DIRECTORS' STATEMENT
The Board of Directors of SEALINK is of the opinion that the acceptance of the contracts is in the best interest of the Company.
This announcement is dated 25 February 2010.
ABOUT SEALINK GROUP
SEALINK Group is an Integrated Service Provider which builds, owns and operates a diverse fleet of offshore marine support vessels, serving mainly the global offshore oil and gas exploration and production industry. Being one of the largest tug and barge operator in Malaysia for the oil and gas industry, it is now strengthening its position to be the major provider for offshore marine support vessels for other niche areas in the industry.
It has a young fleet of offshore marine support vessels predominantly focused on and used in the offshore oil & gas industry. With its diverse fleet of 33 vessels, it can cater to a wide base of reputable clients in the various segments of the industry.
Presently, SEALINK owns two shipyards located in Miri, Sarawak. The two shipyards has the capacity to construct up to 17 vessels a year.