Sembcorp Marine Acquires A 50 Percent Stake In PPL Shipyard

SembCorp Marine has signed a Sale and Purchase Agreement with PPL Holdings Pte Ltd to acquire a 50 percent equity stake comprising 10,000,000 shares of $1.00 each in PPL Shipyard Pte Ltd. (PPLS) for $16 million. PPLS' business is primarily in oil rig and vessel construction as well as steel fabrication. It has recently secured a contract for the construction of two jack-up drilling rigs, each having a value of $125 million, from Sante Fe International Corp., with a construction period of 24 months for each rig. There are also options for four additional jack-up drilling rigs to be built for Sante Fe International Corporation. Last year, PPLS delivered a semi-submersible drilling rig named Cajun Express to U.S. offshore drilling company, Transocean Sedco Forex Inc. Incorporated in Singapore in November 1997, PPLS, which is located on the West Coast of Singapore, has a land area of 141,791 sq. m with a water frontage of 2,296 ft. (700 m) and a water depth of 21 ft. (6.5 m).