EMAS Offshore has gone through a challenging
year, amidst the oil and gas sectors experiencing
much uncertainty and volatility in oil prices. I
would like to thank you for your support, even as
we continue to take steps to cut costs and enhance
Our new Chief Executive Officer, Capt. Adarash
Kumar A/L Chranji Lal Amarnath ("Capt. Kumar")
is a veteran in the offshore oil and gas industry.
He will be able to bring strategic insights to drive
EMAS Offshore's performance, maintain our leading
position in Asia, and penetrate West Africa, which
we have identified as a key market for us to grow in.
I would also like to extend my appreciation to Mr.
Jon Dunstan, who has been with us since 2011.
Jon has been instrumental in overseeing the
transformation of EOC Limited into EMAS Offshore
Limited, creating one of Asia's largest offshore
support service providers, and culminated in a duallisting
in the Singapore and Oslo stock exchanges in
Despite facing headwinds in the sector, EMAS
Offshore did fairly well in for the full year ended 31
August 2015 ("FY2015"). We saw an increase in net
profit to US$199.5 million for FY2015, boosted by
a US$154.7 million negative goodwill arising from
the completion of the business combination of EOC
Limited and EMAS Marine on 3 October 2014.
Offshore Support and Accommodation Services Division
In the Offshore Support and Accommodation
Services division, offshore support vessel achieved
an utilisation rate of 75% for FY2015. The Company
continues to see strong demand for larger
specifications vessels in the Anchor Handling Tug
Supply ("AHTS") segment, with a utilisation rate of
over 90% for FY2015.
We are also encouraged by the contract momentum
in West Africa and Asia. With over US$85 million of
new contracts awarded in FY2015, we continue to
extend our track record and establish our position
as the offshore services provider of choice in Asia
Offshore Production Services Division
Our Offshore Production Services division continue
to perform well for FY2015 with an operational
uptime of more than 95%. Furthermore, our
Floating Production Storage Offloading ("FPSO")
vessels, Lewek EMAS and Perisai Kamelia continue
to perform extremely well with zero recordable
Loss Time Incident (LTI) during operations. We
have secured several engineering service and
construction supervision contracts including
services in relation to the Petrobras Libra oil field
exploration project in the Santos Basin, Brazil and
STX Gaza replacement of vessel in the oil field in
North West of Tripoli. Both contracts utilise EMAS
Offshore's experience in turret work gained during
FPSO conversion projects.
Going into 2016, we will continue to pursue
opportunities in maintaining an asset light strategy
and focus our capabilities on our offshore support
vessels segment. We are also closely monitoring the
business environment and have taken further steps
to mitigate the slow-down in offshore activities, with
an increased focus on vessel utilisation and initiatives
to streamline operations and reduce costs.
Mr Lee Kian Soo
EMAS Offshore Limited