Dubai-based shipping firm Gulf Navigation Holding PJSC (GulfNav) announced that it is in discussion to acquire a majority stake in Atlantic Navigation Holdings (Singapore) Limited (Atlantic), an integrated offshore supply operator.
The company has been in discussions with major oil companies in the Gulf Region seeking to provide key project solution and offshore services. This acquisition “will propel the business forward and create added opportunities that both companies can deliver,” GulfNav said in a statement.
As informed, Atlantic currently operates a fleet of 25 vessels which comprises a variety of AHT, AHTS, jack-up accommodation barges, offshore cargo barges, towing tugs, offshore supply vessels, Lift boats and assorted vessels, while it has on order 7 new OSVs. It also owns a 50% share in a Consortium to undertake a US$ 45 m deconstruction project with a Middle Eastern NOC. The project is the first of its kind and entails demolition and removal of offshore and onshore structures in an abandoned oilfield in Abu Dhabi.
Under the terms of the Consortium Agreement, Atlantic has the first right of refusal in providing the entire marine spread required for the project. Through this investment in Atlantic, GulfNav will have an interest in 32 vessels including 7 newly built.
In this way, GulfNav eyes to have integrated capabilities across the entire services supply chain associated with oil and gas, from providing integrated support services to offshore oil installations and the ability to manage, ship and deliver petrochemical derivatives to international markets.
Completion of the transaction is subject to satisfactory completion of due diligence, Boards and Authorities approvals.
Khamis Juma Buamim, MD, Group CEO of Gulf Navigation Holdings PJSC commented: “This investment marks a major milestone in Gulf Navigation’s strategy to grow our offering to our customers in the regional offshore oil and gas sector. At the same time it gives Gulf Navigation a significant position in the GCC regional OSV O&G market. During the discussions our two companies have got to know one another well and our teams enjoy working together, essential keys to success.”
Wong Siew Cheong, Executive Chairman and CEO of Atlantic, said: “We look forward to joining forces with Gulf Navigation and working together and drive our shared ambitious growth strategy in the offshore Oil and Gas sector. GulfNav will provide Atlantic with, on one hand, new strategic and financial resources to implement our growth plans to enable us to widen our services to our clients and, on the other, broader opportunities for our talents.”
