EMAS AMC AS, a subsidiary of EMAS Chiyoda Subsea, has requested Ocean Yield to enter into a short-term standstill agreement relating to the bareboat charter of the vessel Lewek Connector for the months of December 2016 and January 2017.
The ultra deepwater multipurpose, flex-lay subsea construction vessel, built in 2011, is under a 10-year charter from October 2012, and it is guaranteed by Singapore-listed Ezra Holdings.
EMAS Chiyoda Subsea (ECS) is said to have initiated discussions with its creditors in order to restructure and recapitalise the company.
The joint venture was established this year by Ezra Holdings and Chiyoda Corporation, following which Nippon Yusen Kabushiki Kaisha (NYK) acquired 25% equity interest in ECS. Ezra and Chiyoda retain their respective 40% and 35% shareholding in ECS.
ECS in consortium with L&T Hydrocarbon Engineering (LTHE) has secured a contract from Saudi Aramco valued at over USD 1.6 billion for the development of the second phase of Hasbah offshore gas field situated off the coast of Saudi Arabia. According to the company, its scope covers approximately 40% of the contract value.