Singapore Corporate News - 20 Nov 2007

Jasper acquires controlling stake in Neptune Marine

OFFSHORE drilling rigs are in hot demand as continuing high oil prices spur oil and gas exploration and production.

And this has led Singapore Exchange-listed Jasper Investments to buy a controlling stake in Neptune Marine Oil and Gas - an offshore drilling company with Singapore-based management - for US$198.4 million. Jasper said the investment in Neptune - which has sizeable offshore contracts for its current two drillships - 'will give shareholders a valuable foothold in the robust oil and gas sector'.

The investment holding company's purchase of a 55.44 per cent stake in Cyprus-incorporated Neptune, whose shares are traded over the counter on the Norwegian VPS System, is through subsidiary Turquoise Offshore.

Jasper said in a statement yesterday that it will invest US$115 million in Turquoise and that this, together with Turquoise's available bank facility, will enable it to complete the purchase.

Under the purchase agreement, Turquoise will pay US$198.4 million for the shares in Neptune plus certain transaction costs incurred by the sellers.

As part of the deal, on completion of the acquisition, Jasper will also transfer 514,500 shares, representing about 3.5 per cent of the issued capital of Neptune, to Idar Iversen, Neptune's chairman and founder.

KepFels wins US$206m vessel contract

KEPPEL Fels' (KepFels) tried and tested reputation has helped it land a US$206 million contract for a semi-submersible accommodation vessel from repeat customer Floatel International.

This is the second contract Floatel has awarded to KepFels following an initial contract in April for another design of accommodation vessel for deployment in the North Sea. The latest vessel is expected to be delivered at the end of 2010.