Ezion's JV seals USD148.6m deal in Central America

It will provide a service rig for 7 years.

In a release, the Board of Directors of Ezion Holdings Limited announce that further to the announcement dated 6th November 2012 with regards to the joint venture with Kim Seng Holdings Pte Ltd through its subsidiary, Scott & English Limited, the JV has further secured a contract with an approximate value of up to USD 148.6 million to provide a Service Rig over a 7 year period to support the oil & gas activities of a national oil major in Central America.

The Service Rig which will be deployed in the Bay of Campeche is expected to be working in the 3rd Quarter of 2013. The JV will acquire and own the abovementioned Service Rig to meet the requirements of the contract.

The above mentioned acquisition will be funded through internal resources as well as bank borrowings.

The abovementioned 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 31st December 2013.