Offshore marine group Nam Cheong sells two vessels for $54.4m

Offshore support vessel builder Nam Cheong said on Monday it has sold two vessels worth US$43.1 million (S$54.4 million), bringing its sales for the first quarter to a record seven vessels.

It sold an anchor handling towing supply vessel to the subsidiary of a new customer, Kayfour Development Corporation, and a platform supply vessel to a repeat customer in West Africa, E.A. Temile and Sons Development Company of Nigeria.

Nam Cheong will build these vessels in its subcontracted yards in China and deliver them this year. They are expected to bump up the group's earnings for the current financial year.

With the latest contracts, Nam Cheong's order book stands at 1.4 billion ringgit (S$539.8 million), the Singapore-listed group said.

Chief executive Leong Seng Keat said the group is "very pleased with this strong sales momentum".

"Notably, since our first entry into West Africa in August 2012, we have made good progress, with our first repeat business from a customer operating in this region, known for its strong prospects in oil discoveries," he added.

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