US$33m contract win in Middle East, US$50m Facility Upsize

By 29 November, 2011Announcements

Miclyn Express Offshore (“MIO”) is pleased to announce that two Offshore Support Vessels (“OSVs”), the Miclyn Grace and Miclyn Grand, have been awarded five year contracts to act as Multipurpose Vessels for Saudi Aramco in Saudi Arabia. The vessels are currently serving out their existing charter contracts in Thailand and Qatar respectively and will commence the new charters in early 2012 on stronger day rates. The aggregate value of the two contracts is US$33 million.
CEO Diederik de Boer said “Miclyn has been providing Crew/Utility Vessel services to Saudi Aramco for some time and we are delighted to extend this important relationship into OSV services. This long term contract supports our overall fleet strategy of maximising utilisation”.
The company is also pleased to announce that its existing US$30 million revolver facility has been upsized to US$80 million. The upsize is funded by a club of high quality lenders including Standard Chartered Bank, DBS Bank and NIBC Bank. Interest on drawn funds remains at 2.75% + LIBOR.
Mr de Boer said “our ability to secure a competitively priced facility upsize against the backdrop of macro uncertainty is testament to our reputation as a secure business with a high degree of earnings certainty. As we pay down our core facility and continue to grow the business, we have the capacity to raise new debt and stay within our conservative gearing targets. The upsized facility, along with our high cash delivery, provides MIO with the flexibility to fund future CAPEX opportunities as they present themselves”.
“As stated at our recent AGM, we expect Financial Year 2012 EBITDA to be up 20-25% on Financial Year 2011” said Mr de Boer.

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