Embattled EMAS Offshore seeks legal advice as unit loses three bareboat charters

Singapore-listed EMAS Offshore, a unit of oilfield services firm Ezra Holdings, said its unit received a notice of termination to end the bareboat charter.

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Image for representation purposes only. Reuters

Singapore-listed EMAS Offshore, a unit of oilfield services firm Ezra Holdings, said its unit Emas Offshore (M) Sdn Bhd (EMM) received a notice of termination to end the bareboat charter.

EMM received three separate notices of termination in relation to the Lewek Ariel, Lewek Lynx and Lewek Alkaid vessels, the company said in a regulatory filing on Tuesday.

EMAS Offshore said it is seeking legal advice with regards to the notices and the company is assessing their impact against the group.

It is also in discussions with the Ariel Owner and the Alkaid Owner as well as the owners' principal financier to enter into a new commercial arrangement in respect of the vessels 'Lewek Ariel' and 'Lewek Alkaid'.

The objective of the new commercial arrangement is to allow for a mutually beneficial arrangement such that the Group will continue to manage and market the vessels for chartering contracts on behalf of the owners and their principal financiers.

EMAS Offshore has been in the midst of financial difficulties since its parent Ezra Holdings filed for bankruptcy protection earlier this year.

In March 2017, EMAS Offshore was suspended from trading on Oslo Stock Exchange and SGX due to the failure to release earnings report.

With regards to restructuring, EMAS Offshore said in October that there was no certainty or assurance relating to the investment.

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