Jasper Investments breaches payment obligation for vessel

SINGAPORE - Oil and gas firm Jasper Investments on Monday confirmed that it did not have enough funds to take delivery of the converted Jasper Cosmopolitan Vessel from YiuLian Dockyards (Shekou).

It had earlier highlighted a potential breach of the payment obligation for the vessel in a notice on Aug 22, after it warned of a possible default on the five-year US$165 million (S$206 million) senior secured bonds issued by its subsidiary Jasper Explorer.

YiuLian Dockyards (Shekou) will sell the vessel to recover the amounts it is owed.

Jasper Investments said it intends to work with Yiulian Shipyard to negotiate a profit share to enhance the Jasper Cosmopolitan vessel's sale price and increase its value "to the benefit of the shareholders".