Addax extends charter of FPSO vessel in Nigeria for $39 million

Malaysia’s Yinson Holdings Berhad (Yinson, the Group) reported that its FPSO (floating production, storage and offloading) vessel, Knock Adoon has secured a contract extension with Addax Petroleum Development (Nigeria) Limited (ADDAX) with a total contract value of approximately $39million. Knock Adoon original contract awarded October 17, 2006 was for a firm eight year period with an extension option of up to eight years.

Knock Adoon has been operating on the Antan field in Nigeria throughout its contract period. Yinson will continue to perform its obligation under the charter contract on Knock Adoon in the same field for the extension period of one year until October 16, 2015. Yinson’s 100 percent owned Knock Adoon has a capacity to process 60,000 barrels of oil per day with a storage capacity of 1.7 million barrels.

The extension of Knock Adoon is expected to contribute to the Group’s earnings for the financial year ending January 31, 2015 and for the financial period thereafter for the period of the extension.

“The awarded extension is a sign of confidences of our clients in Yinson. We hope to continue our strong working relationship with all our clients and business partners.” commented Lim Han Weng, Group executive chairman.