SEACOR Marine forms JV with affiliates of Cosco Shipping Group

22 January 2018 (Last Updated January 22nd, 2018 10:22)

Global marine and support transportation services provider SEACOR Marine Holdings (SMHI) has completed the formation of a joint venture (JV) with affiliates of shipowner Cosco Shipping Group.

Global marine and support transportation services provider SEACOR Marine Holdings (SMHI) has completed the formation of a joint venture (JV) with affiliates of shipowner Cosco Shipping Group.

The JV will be known as SEASOSCO Offshore and is based in the Marshall Islands.

It has already signed contracts to purchase eight new, Rolls-Royce-designed construction platform supply vessels (PSVs) from Cosco Shipping Heavy Industry’s Guangdong shipyard for a total consideration of roughly $161.1m.

A total of six of the contracted PSVs will feature the UT 771WP design, while the remaining two will be UT 771CD models.

"Combining a proven and advanced design, best-in-category accommodations and the innovative Rolls-Royce battery system, these vessels will be highly marketable across all major offshore energy regions worldwide."

SEACOR Marine CEO John Gellert said: “We are confident that we have structured a transaction that meets the needs of the Shipyard, while also managing the cash outlay from the equity owners.

“The acquired vessels will modernise our operating fleet and expand our offerings to our customers.

“Combining a proven and advanced design, best-in-category accommodations and the innovative Rolls-Royce battery system, these vessels will be highly marketable across all major offshore energy regions worldwide.”

SEACOSCO is expected to take ownership of seven of the PSVs this year, while the final unit will follow next year.

The PSVs are set to be stored at the Guangdong shipyard facility upon completion of the deal.

SEACOSCO has also reached an agreement with Rolls-Royce Marine to outfit six of the PSVs with a battery energy storage system, which are designed to decrease their overall fuel consumption.

SEACOR Marine will be responsible for the vessels’ full commercial, operational and technical management on a worldwide basis as part of a separate management agreement with SEACOSCO.