Pacific Radiance adds to operating cash flow with US$45m of new contracts
Pacific Radiance Ltd. (Pacific Radiance or the Group), a provider of integrated offshore marine support services has secured US$45.3 million worth of new contracts, including options, which will add to its operating cashflow. Under these contracts, ten of the Group’s offshore support vessels, including a diving support vessel, are being deployed to support projects in Asia and the Middle East. They are chartered to new and existing clients to provide services which include towing, repair and maintenance, transportation and platform support.
Mr Pang Yoke Min (冯学民), the Executive Chairman of Pacific Radiance, said: “These latest contract wins will improve the Group’s vessel utilisation and underscore our efforts to build a sustainable long term business. “Although global spending for exploration and production is expected to rise this year, market conditions will stay challenging.”
Just last week, Pacific Radiance was granted S$85 million in loans under two Singapore government-backed financing schemes which aim to help local offshore and marine (O&M) companies gain financial support to weather the current severe industry downturn.
Under the enhanced Internationalisation Finance Scheme by International Enterprise (IE) Singapore, O&M companies can borrow up to S$70 million each for project or asset financing needs. As for Spring Singapore’s Bridging Loan scheme, each company can borrow up to S$5 million for a maximum of six years, to finance their operations and bridge short-term cash flow gaps. The maximum loan for each group borrower is S$15 million. The government will take on 70% of the risk share for both schemes.