Ezion Holdings secures $62.7m contract to provide service rig

Singapore-listed offshore services company Ezion Holdings has clinched a charter contract to provide a service rig for an oil major to support its oil and gas activities in the Middle East.

The deal is worth about US$49.1 million (S$62.7 million) over four years, Ezion said on Thursday.

In conjunction with the deal, Ezion will form a joint venture with Kim Seng Holdings through its subsidiary, Scott & English, to acquire and own the service rig. The project will be funded through internal resources and bank loans.

The rig is expected to be deployed to the Middle East around the middle of next year after its refurbishment and upgrading, Ezion said.