Using VesselsValue data, Charlie Long, Offshore Analyst, has analyzed the fate of Teras Offshore's Liftboat fleet looking at their assets and sales following their liquidation announcement on 30th December. 

"Since Q4 2020, Teras Offshore have sold 55% of their total Liftboat fleet generating USD 93.5 million in capital through sales. What has become of these assets? Who owns them now? Have they been successfully repurposed, and if so, what are they working on?

Teras Offshore, once a notorious ‘‘big boy’’ in Singapore’s offshore oil & gas market and owning a varied fleet of Liftboats, Jack-ups and small AHTs, has recently been forced to close its doors for good and put an end to years of suffering and losses. On the 30th of December, the company officially announced it would be entering through a court-managed liquidation.

Ezion Holdings’ subsidiary company Teras Offshore was once a well-known trailblazer behind the use of multi-purpose self-propelled jack-up rigs (“Liftboats”) in the Southeast Asian energy markets. The company built their fleet during the peak of the offshore oil & gas market back in 2012, and like many other vessel owners in the industry at that time, had their fingers burnt...

Teras Offshore has been underperforming for a number of years, and consequently the company is now deemed insolvent and unable to pay off its existing debt. Since 2020, the company has been in a state of retraction with a mix of bank driven sales to remove assets from the fleet in order to re-lease equity. We expected to see more of this activity throughout the course of 2022 as the company closes its doors. Unfortunately, Teras Offshore has met a similar fate as its Singapore compatriot owners, with a slow and agonizing bankruptcy."

Read the full report here.