Report: McDermott to buy ‘Ceona Amazon’ at a hefty discount

Offshore installation player McDermott is reportedly set to acquire the offshore construction vessel Ceona Amazon, and at what discount!

According to Nor-Ocean, which cited industry sources, McDermott is expected to finalize the acquisition in February for an estimated $80 million.

The shipbroker points out the price would be at some 80 percent discount compared to the $350 million newbuild price.

To remind, Ceona, the original owner of the vessel went into administration in September 2015.

Commenting on the reported deal Nor-Ocean said: “The vessel was delivered from the yard in 2015, and went directly into layup. With this acquisition, McDermott adds a top-line deepwater installation spread, which enables the company to go head-to-head with the Tier-1 subsea installation companies. MDR is the only realistic new entrant into the tier-1 SURF market due to their track record, and this move clearly shows that they are serious about it.”

The Ceona Amazon is 199.4 meters (655 ft) long and 32.2 meters (106 ft) wide, drawing 8.0 meters (25 ft) with a gross tonnage of 33,000te.

Offshore Energy Today has reached out to McDermott seeking more info on the reported deal.

Responding to our request, a McDermott spokesperson said:”As our long-standing policy, McDermott doesn’t comment in industry rumors. Should we be in a position to announce news…we’ll make a formal announcement at the appropriate time.”

McDermott’s last week was an eventful one. The company on Thursday said it had been awarded an EPCI contract with Saudi Aramco and a pipelay contract with an unnamed client, both in the Middle East. 

Also, McDermott last week hired Norway’s Ocean Installer as a subcontractor for riser installation work in Australia.

Offshore Energy Today Staff