Atlantic Navigation extends contract with Middle Eastern oil firm to 2020

CATALIST-LISTED Atlantic Navigation Holdings has extended its contract with a Middle Eastern National Oil Company (NOC) for its lift-boat service by another year to May 2020 from end-June this year, the company announced on Thursday.

The contract, which was awarded for the lift-boat AOS Maintainer I in 2017, came with a one-year charter and two one-year extension options. The NOC, which operates in the Arabian Gulf, had exercised the first one-year extension option last year.

All other terms of the contract, including the daily charter rate, remain unchanged.

Separately, Atlantic Navigation's other lift-boat, Delta 22, was put on contract on May 1 for a six-month charter with a two-month extension option with another NOC, which also operates in the Arabian Gulf.

Assuming the extension option is exercised, the value of the contract for Delta 22 is expected to be approximately US$4.8 million.

Both contracts secured are expected to contribute positively to Atlantic Navigation's earnings for the financial year 2019 ended December.

Atlantic Navigation shares last traded at 10 Singapore cents in December before the counter was suspended for falling below the minimum free float requirement.