Viking O&M maps future growth, more rigs possible

Singapore: Singapore-listed Viking Offshore and Marine has announced a strategic review to push its various subsidiaries up the value chain in the offshore arena as well as significantly bolstering its offshore fleet.

Among myriad initiatives Viking plans to invest up to S$5m in 10 promising O&M companies to be housed within the Viking Innovation Centre, which opens later this year.

Meanwhile, the group will continue to expand its presence in China, Southeast Asia, the Middle East and Brazil and offer new capabilities to cater to new markets.

In November last year, the group announced that it has entered a strategic partnership with the founders of Labroy Marine to construct a drilling jack-up rig at a cost of approximately $180m, marking Viking’s entry into the mainstream O&M to build a new pillar of growth through asset ownership and offering asset-based services including rig charter. The construction of the rig has commenced and, in consultation with its partners, Viking said it will seek charter opportunities. The rig is targeted to be completed by the end of 2015.

The rig development will open up avenues for Viking to participate in future similarly configured rigs to be built at the the same yard, Viking said.

The group intends to acquire more O&M assets of various platforms, rigs and vessels with pre-existing charters to build up its fleet in order to develop sizeable recurring charter revenue and economically meaningful portfolio.  [21/01/14]

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