Electromagnetic Geoservices (EMGS) is diversifying its business into subsea construction.
The company has entered agreements with Siem Offshore under which a newly formed subsidiary will acquire the 2013-built Siem Day subsea construction vessel, which has a 250-t active heave compensated crane that can install loads in up to 3,000 m water depths.
Under the terms of the transaction, EMGS will enter a five-year bareboat charter agreement for the vessel at a rate of $42,000/d through the end of its current charter on Dec. 31, rising thereafter to $45,000/d.
The charter includes purchase options that can be exercised three or four years after the start of the charter, and an unconditional purchase obligation at the end of the charter period, with a total acquisition price of $108.9 million.
Following the expiry of the current charter on Dec. 31, EMGS plans to operate the vessel on a term contract while remaining open to shorter-term opportunities.
Its long-term ambition is to acquire further subsea vessels.
To maintain efficient operations, EMGS expects to appoint Aurora Offshore Management for technical and commercial ship management.
