Prosafe Receives LOI for FSO Endeavor

Prosafe has entered into a letter of intent (LOI) with Aban Loyd Chiles Offshore Ltd for the use of the FSO Endeavor for another three plus two years offshore India. The contract can be cancelled with six months notice.

The contract extension confirms Prosafe's positive view that high quality units are likely to remain in the field beyond the original contract term. FSO Endeavor went on charter in July 1997 for a fixed three-year period with four yearly options. The new contract ensures that the vessel may end up staying in field for at least 10-12 years, which is more than three times the original contract term.

The contract value for the three-year period is approximately US $11 million.