Triyards Holdings

COMPANY PROFILE

2015

TRIYARDS HOLDINGS

+65 63498535 | www.triyards.com

Making waves in the SEU market Editorial: Annabelle Withering

Š Triyards Holdings

PAGE 2

TRIYARDS HOLDINGS

Establishing a prominent position in the liftboat industry, Triyards gained further traction in July this year with its latest contract, valued at $175 million, to supply two enhanced BH-450 series liftboats - “Our stepped up presence in large liftboats reflects the industry’s endorsement of the Group’s strong engineering and fabrication expertise. As the region’s leading shipbuilder for these vessels, we are poised to gain further as their adoption widens in the industry globally.”

The first global company to construct the 450ft self-elevating unit (SEU) series – the BH-450 – Triyards Holdings is one of the few yards in Singapore to both design and build its very own SEUs. With a seamless track record, Triyards is an engineering and fabrication solutions provider, focusing on the oil and gas industry, with yards now in Vietnam, Singapore and Houston.

A subsidiary of Ezra Holdings, Triyards acquired the first of its two Vietnam yards from SEAMER Holdings Ltd in 2005, with the second yard set up in 2007. Three years later and the company acquired its third yard, an engineering and design facility for its crane and heavy lifting product line, in Houston.

Now operating in more than 16 locations across six continents covering Africa, Europe and Australia; Ezra was founded in 1992 and now stands as a leading contractor and provider of integrated offshore solutions to the oil and gas industry under the EMAS brand.

Triyards’ capacity in Vietnam

infrastructure, its two yards – one in Vung Tau, Vietnam, and the other in Singapore – helped to increase Triyards’ yard capacity by more than 67% with a total area measuring 158,648 m2.

Of the acquisition, Chan Eng Yew, Triyards’ CEO, said in a statement: “Strategic Marine is a good fit for Triyards as we work to build our name in fabrication and engineering solutions and move beyond the construction of oil & gas product lines adding capabilities and products which would target a wider clientele base.”

Earlier this year, Triyards was awarded a $175 million contract for the delivery of two enhanced BH-450 series liftboats – the third and fourth in the series to be built by the company, this follows its successful win in January for two liftboat contracts valued at US$75.4 million.

Designed to stand as next generation state-of-the-art four-legged liftboats, these are expected to be delivered to

and expectations of our discerning clients. We will remain focused on strengthening our lead in liftboats in Asia, the Middle East and West Africa.”

The enhanced BH-450 liftboat series is able to accommodate up to 250 personnel and is the largest and tallest in the product range on offer. Lattice-legged vessels, they will stand at more than 130m tall and will be able to operate in water depths of up to 105m – making them suitable for a wide range of offshore, clean, and renewable energy projects such as windfarms.

Of the contract, Chan Eng Yew said: “Our stepped up presence in large liftboats reflects the industry’s endorsement of the Group’s strong engineering and fabrication expertise. It also demonstrates increasing market acceptance and growing demand for liftboats.

“As the region’s leading shipbuilder for these vessels, we are poised to gain further as their adoption widens in the industry globally.”

Intent on expanding its business

increased further in October 2014 through its acquisition of Western Australia’s Strategic Marine. With more than ten years’ experience building aluminium and steel vessels and complex steel structures for both the mining sector and marine

experienced and well established U.S. based operators.

Speaking of the contract win in January, Chan Eng Yew, said: “Our pace of recent contract wins reflects confidence in our ability to meet exacting industry standards

to be one of only three yards in Singapore to design and construct its very own proprietary jack-up rig, the introduction of another new premium class 400 HPHT (high pressure, high temperature) drilling rig - the TDU-400 - has

HIGH SPEC, NEW CLASS

PAGE 3

been introduced and designed to meet the demands of different clients without requiring the costly and time consuming task of redesigning.

The company explains it is “designed to be ‘lighter weight’ without compromising operating performance. The TDU-400 is competitively priced and will make a worthy addition to our growing range of proprietary products. This will certainly propel us closer to our goal of becoming a leading

PAGE 4

shipyard in the region.”

With growing momentum in South East Asia and the Middle East, the demand for liftboats has increased significantly in recent years with operators understanding the high value-to-cost ratio of using them. Triyards is at the forefront of this industry, with its proven designs, dedication, fabrication capabilities and enviable track record, the company has already built and delivered seven liftboats successfully,

with further liftboat orders in the pipeline.

The construction time for liftboats can vary - for the smaller units, it can be anywhere from 1416 months, while the larger units, depending on complexity, can take between 18-20 months.

“Our recent new orders attests to the industry’s confidence in us and our ability to meet our clients’ stringent requirements on safety, quality, timeliness of delivery and cost efficiency.

TRIYARDS HOLDINGS

© Triyards Holdings

PAGE 5

They also reflect the market’s satisfaction of our engineering and fabrication capabilities.

“The orders also showcases the confidence clients have in our engineering capabilities. This unit reinforces our versatility and capability in this product segment.

proximity of our facilities to those markets gives us a distinct cost advantage from a transportation and cost perspective,” Mr Chan Eng Yew explains.

In July this year, the Group reported its financial results for the three months that ended 31st May

four vessels helped to contribute significantly to the Group’s strong operating cash flow of $33.1 million for 3Q FY15, compared with an outflow of $9.3 million previously. Consequently, the Group’s net debt (total external indebtedness net of cash and

“For the liftboat product line, I think we have a very strong track record of successful delivery. If you’re going to order a liftboat from Triyards in Vietnam, to be deployed in South East Asia or to the Middle East or to Africa, the

(3Q FY15). Net profit attributable to shareholders came in at $5.4 million on revenue of $63.9 million - largely in part from four liftboats that had progressed into the advanced stages of construction.

The near conclusion of these

cash equivalents) to equity ratio decreased from 0.5 times to 0.3 times as at the end of FY14.

PAGE 6

A RECORD BREAKER Perhaps one of the company’s most successful and world-

TRIYARDS HOLDINGS

km.kongsberg.com km.kongsberg.com

Kongsberg Maritimes integrated Kongsberg Maritimesinintegrated approach and expertise positioning, approach andcommunication, expertise in positioning, hydroacoustics, hydroacoustics, communication, control, navigation, simulation, and automation enables us simulation, to give our and control, navigation, customers The enables Full Picture. automation us to give our customers The Full Picture.

EVERYDAY EXCELLENCE, THAT’S THE FULL PICTURE EVERYDAY EXCELLENCE, THAT’S THE FULL PICTURE PAGE 7

renowned builds is the Lewek Constellation, delivered in 2013, it is considered the most advanced construction and pipelay vessel of its class in the world. Also the largest ship hull to be launched into the water by airbags in the world, this record-breaking vessel has been designed to deliver complex projects in an efficient, safe and reliable manner, able to operate in water depths exceeding 3,000m.

A DP3, multi-lay vessel with heavy-lift capabilities, the Lewek Constellation is able to support rigid and non-rigid pipelines and has a 3000-ton heavy lift crane on

pipelayer to carry out offshore works for VAALCO in a contract worth an estimated US$120m.

In June this year, the Lewek Constellation set the industry pipelay record in 7,368ft of water during sea trials in the deepwater regions of the Gulf of Mexico - all in preparation for the execution of three subsea tie-back projects for the long-running Houston based company, Noble Energy. Tension was recorded at 632mT – the highest tension that has ever been experienced in the history of rigid reeled-lay operations.

Lionel Lee, Chairman, EMAS AMC, said: “Successfully laying

quality of our new vessel built

by EMAS Group’s subsidiary TRIYARDS in Vietnam.”

“What this record means for clients going forward is that we can offer a more efficient pipelay solution in ultra-deep water for pipelines up to 16 in. in diameter when compared to traditional S-Lay or J-Lay methods, even with thick insulation coatings, thereby giving our clients more options to consider,” John Meenaghan V.P. of Global Operations, said in a statement.

board.

The Lewek Constellation serves VAALCO Gabon, carrying out operations at its Etame Marin Field located off the coast of Gabon in West Africa, has joined EMAS AMC’s Lewek Express

the test pipe at this recordbreaking top tension during pipelay trials is a significant achievement for EMAS and an industry first. It’s a testament to the experience and expertise of our people combined with the

i n c re a s i n g l y h i g h a n d u n i q u e industry specifications, Tr i y a rd s h a s , t o d a t e , b u i l t a n d d e l i v e re d s e v e n l i f t b o a t s on time and within budget since 2007, helping to cement i t s p o s i t i o n a s A s i a ’s l e a d i n g

PAGE 8

A BRIGHT FUTURE With the implementation of

TRIYARDS HOLDINGS fabricator and engineering s o l u t i o n s p ro v i d e r i n t h i s g ro w i n g i n d u s t r y s e c t o r.

Standing as one of the few Singapore yards to both design and build SEUs, Chan Eng Yew explains the necessity and importance of maintaining its highly effective corporate structure.

“W ith regards to our corporate structure, we can actually turn this into commercially viable projects. W ith larger shipyards these projects may seem a little bit too small, especially with cost efficiencies and overheads, they may not be profitable.

Juxtaposed against that is the smaller yard owners who may not be in a comfortable position to build a liftboat which would cost at the very least US$40-$50 million. Triyards is finding itself in

“I think it’s a very exciting time for us, not only because of the potential upstream and interest in the SEU segment but because we are also basically introducing new products to the market with the Triyards name”

quite a comfortable niche, where we are the right size to actually produce these units.

“We still have a very healthy order book and I think there’s bookings for both the aluminium product line and our steel products, predominately revolving around the selfelevating units, such as the lifts boats.

“I think it’s a very exciting time for us, not only because of the potential upstream and interest in the SEU segment but because we are also basically introducing new products to the market with the Triyards name, such as the aluminium boats. We are also looking forward to the roll out of our new crane product which will compliment the products we have currently very well,” the company’s CEO concludes

Marine and Shipbuilding

Navigate to new horizons Get on course with green returns half_page_ad_Oct2014 (151x112).indd 1

10/24/2014 5:49:59 PM

PAGE 9

+44 (0) 1603 411569 info@totalworldenergy.com East Coast Promotions Ltd, 2 Ardney Rise Norwich, Norfolk NR3 3QH

www.totalworldenergy.com