January 24, 2008

Siem cancels PSV-as-FPSO contract

Siem Meling Offshore DA, a 51 percent owned subsidiary of Siem Offshore Inc, has terminated the 5 years contract for the large-size platform supply vessel MV 'Siem Sailor' that was announced on May 15, 2007 and scheduled to commence during first quarter 2008, as "the contract partner has not complied with its contractual obligations."

The vessel was delivered from the yard in December 2007 is currently working in the North Sea spot market.

According to the May 15, 2007 announcement, the contract was with "a Mexican subsidiary of Energy Sea and Land Projects, Inc." and would have seen Siem Sailor operate as a small FPSO for Pemex in the Gulf of Mexico.