Ezion Holdings Limited has received a letter of intent with a contract value of up to approximately USD 65 million over a 3 year period to provide a Service Rig to an oil major to support its oil & gas activities in South East Asia, Ezion’s Board of Directors announced.
The Company is in the process of forming a joint venture company to order and own an additional Service Rig in conjunction with the above mentioned project.
The Service Rig is expected to be deployed and working in the Southeast Asian waters by late 3Q 2015. The above mentioned project will be funded through internal resources as well as bank borrowings.
The charter is not expected to have a material impact on the Group’s earnings per share or net tangible assets per share for the financial year ending 31 st December 2013.
Press Release, October 31, 2013