Brightoil continues bunker barge acquisition despite setbacks

Brightoil continues bunker barge acquisition despite setbacks

Hong Kong: Hong Kong-listed Brightoil Petroleum announced that it is moving forward with the acquisition of two bunker barges from affiliate companies of its chairman Sit Kwong Lam, despite a series of setbacks.

Both of the two vessels were built by Haidong Shipyard. One of the vessels, Vessel 666 has been delivered to Subsidiary 666 by Shenzhen Brightoil Shipping on September 2 according to a MOA. However, the vessel was sent for repair due to minor mechanical issues. Now Subsidiary 666 is withholding payment to Shenzhen Brightoil Shipping pending a resolution of the incident.

The other vessel Vessel 639 was detained by Haidong Shipyard due to a payment dispute, which has since been resolved.

Brightoil said the selling price for each vessel has also been reduced from $9m to $8.95m due to the delays in delivery.

“It is beneficial for the company to continue with acquisition as it would incur further costs and time to look for another suitable vessel of same quality within similar price range,” Brightoil said in a release. [26/11/14]

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