Ezra Holdings was awarded a 4-year contract from an oil major to charter its Floating Production, Storage and Offloading, or FPSO facility.
The charter contract comes with an extension option of up to 3 years which, when exercised.
Ezra is an integrated offshore support and marine services provider listed on the Singapore Exchange.
Ezra's oil tanker M.T. Kitty Knutsen will be converted into the FPSO at a yard in Dubai.
It will then operate in Southeast Asian waters from financial years 2008 to 2011. Ezra is looking at several options to finance its FPSO business. Ezra says the FPSO contract could also possibly involve the hire of Ezra's offshore support vessels. In addition to the FPSO contract, Ezra also announced its first entry into the Indian offshore support services
Its offshore chartering division has secured a three-year $15m contract from an Indian conglomerate.
The deal involves one of Ezra's Anchor Handling, Towing and Support vessels, which has been contracted to operate on the east coast of India.