Mermaid enters Thai decommissioning joint venture
Offshore vessel provider Mermaid Maritime has entered into a joint venture with Meitech to enhance offshore transport, installation, and decommissioning capabilities in Thailand.
Mermaid said that the partnership with Meitech would provide it with access to Meindo Group’s fleet of vessels and other specialist services. This will boost their capabilities to service projects in the Gulf of Thailand.
As a result of the joint venture, Mermaid established an indirect majority-owned subsidiary – Mermaid-MOE JV (MMJV) in Thailand.
Based on the terms of a joint venture agreement entered into between the company’s wholly-owned subsidiary Mermaid Subsea Services and Meitech Offshore Engineering.
Singapore-based Meitech Offshore is under common ownership and control with the Meindo group. Meindo is one of the leading EPCI contractors in Indonesia, providing fully integrated solutions in engineering, procurement, construction, and installation services for the petrochemical, energy, and upstream oil and gas industry.
With over 30 years of experience, Meindo has built a presence as the leader in topside, jacket, and module fabrication, and onshore/offshore pipeline installation in Indonesia.
The company intends to utilize MMJV as a vehicle to enhance the provision of its offshore transportation, installation, and decommissioning services for targeted potential projects in the Gulf of Thailand.
MMJV will comprise Mermaid’s seasoned Thai personnel having a minimum of 10-20 years of working experience in offshore oil and gas operations and offshore facilities construction in the Gulf of Thailand together with Meindo’s experienced project personnel.
According to Mermaid, the incorporation of MMJV will be funded using internal resources and the incorporation itself is not expected to have any material impact on the net tangible assets per share and earnings per share of the company as a group for the financial year ending 31 December 2020.
None of the directors, substantial shareholders or controlling shareholders of the company has any interest, direct or indirect, in the incorporation of MMJV other than through their respective shareholdings in Mermaid.