Otto Marine Wins Long-term Charter for Support Vessel Offshore Australia

Singapore's Otto Marine – an offshore marine group specializing in the building of offshore support vessels, ship chartering and offshore services operation – said Thursday that it has through its subsidiary, Go Offshore, won a long term time-charter contract for its landing craft, CS Ann Marie.

The contract is expected to generate $15 million for the minimum scheduled period of the charter and up to $18.5 million with options.

Go Offshore will charter the CS Ann Marie to an oil and gas major to support its construction and drilling works in the North West Shelf, situated in the northwest of Western Australia. 

A spokesperson representing Otto on Friday declined to comment on the term period of the contract, or provide further details on the identity of the company which awarded Go Offshore the contract. 

Commenting on the company's contract win, CIMB Securities Vice President Yeo Zhi Bin told Rigzone on Friday that it demonstrates Go Offshore's strong networks in Australia. Yeo however added that the new contract may not have an overall positive impact on Otto's results for this fiscal year as the company is still grappling with low order volume in its shipyard. 

Otto reported on August 14, 2012, that it recorded a 2Q 2012 net loss of $33.6 million – the fifth consecutive quarter in which the company is reporting a loss – as compared to a loss of $32.4 million in the same period last year.

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