Global Offshore, formerly known as Garware Offshore Services, plans to spend $110-112 million on adding two more Platform Supply Vessels (PSVs) of 4,500 dead weight tonne (dwt) each to its fleet.
Sandeep P Akolkar, president - finance, Global Offshore, confirmed: “We do have plans (to expand).” However, he said these plans were on the drawing board and it will take a couple of months to firm up details.
“The deliveries will happen 18-24 months down the line.”
The funding will be met through 80 per cent of debt. “The remaining will be equity. That could either be through internal accruals or we may even go for some fund raising. We are looking at private placements, preferential warrants, etc,” Akolkar said.
Global Offshore has five PSVs and four of them are 3,300 dwt and one is 4,500 dwt. It may add a small anchor handling tug to its existing seven, if it sees good traction.
It has 13 vessels and all of them are deployed on long-term charter contracts. It is looking to get the two new PSVs from the same shipyard in Norway, where four of its PSVs were constructed.
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It also plans to sell its oldest PSV, Garware 1, as its contract with ONGC ended recently. “It’s a 27-year old asset and could fetch around $1-1.1 million. That is the only block as of now, as the other two, Garware 2 and 3, which are of the same vintage, are on contracts.”
As on March 31, 2011, it had debts worth 600 crore. “We will pay around $14 million this financial year,” he said.