Otto Marine clinched US$404m contracts in 1H14

It's looking to expand in other high-potential regions.

Singapore’s Otto Marine Limited announced yesterday that the company has secured charter contracts worth approximately US$404 million in the first half of 2014.

Riding on the increasing demand for offshore support vessels (OSVs), Otto Marine’s order book stood at approximately US$450m by the end of June, with an average contract tenor of 3 to 5 years.

According to Otto Marine, “With global offshore support vessels footprint across Africa, Asia, Australia, India, the U.S., the Gulf of Mexico and the North Sea, Otto Marine takes advantage of its strong complementary shipyard to achieve economies of scale, supporting its very own fleet renewal, expansion and upgrading program to ride on the increasing demand for OSVs.”

Here’s more from Otto Marine:

Backed by strong long term relationships with leading Oil and Gas companies, Otto Marine enjoys a healthy order book that stood at approximately US$450 million as at 30 June 2014, with an average contract tenor of 3 to 5 years.

Ultimately, the booming E&P activities, along with the rising OSV demand will enhance the supply-demand dynamics, which is expected to drive up the charter rates.

Moving forward, Otto Marine’s primary focus will be placed upon capitalizing on its high growth in markets such as North Sea, Africa and Australasia as well as penetrating into cabotage-protected areas to increase its presence in high-potential regions in Malaysia and Indonesia via key partnership with the GO Marine Group.